no. 12.04 is supported for 5 years as it is LTS (long term support) release. means it will get security updates and bugfixes for 5 years. 12.10 is supported for 18 months. basically 12.10 is development, kind of testing but stable short term support release. it has plenty new features added that might work smooth or not. usually these new features will get expanded and then polished for next LTS which is in April 2014. the 12.10 also has newer kernel and newer drivers which is better if you have new hardware. but doens't matter as much for the old maschines.
unfortunatelly i do not know much about xorg.conf file. or why it would cause system to slow down. it's been too long since i used one. i am sure someone else will know more. though these files are not used often lately. but they are still used on certain occasions.And can you please comment on what I said about creating the xorg.conf file in the X11 folder?
As I said, all runs fine (including Unity) until I create it.
Even without modifing anything.
edit: try askign on ubuntu IRC channel or maybe xorg have their own IRC channel.
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