Since Hardy's out, I made a fresh install on my desktop PC. I have an EVGA GeForce 8800GTS driving two Dell monitors, a 2407WFPHC at 1920x1200 and a 2004FPW at 1680x1050. The default install detected both monitors fine but ran only in cloned mode. That's really not ideal, especially since I run differently sized monitors. The Monitor Resolution Settings wasn't of any help, and I didn't want to dig into the xorg.conf, but I found an pretty easy fix.
If you're lucky Ubuntu will let you know there are
Restricted Drivers Available which will get this working better.

Click the little graphics card icon and install the
NVIDIA accelerated graphics driver by checking the box under
Enabled. That will install the driver and ask you to reboot, so reboot. In my case rebooting disabled my second monitor.
Now we need to install the
NVIDIA X Server Settings tool. You can search for
nvidia-settings in Synaptic to install it, or just open up a terminal and run:
sudo apt-get install nvidia-settingsThen from a terminal run:
sudo nvidia-settingsClick
X Server Display Configuration and you should see this:

Click
Configure and enable
TwinView, then arrange the displays as you'd like them. I ended up with this:

You'll notice I checked
Make this the primary display for the X screen in the settings for my larger monitor. This will determin which monitor most things run in, like the login screen and the panel. Click
Apply, make sure it looks good, then
Save to X Configuration File and finally
Quit. At this point it's working but a few things look janky, like your panel runs across both monitors, some screens show up half in one monitor, half in the other, stuff like that. Just loging out and back in clears that up.
Enjoy!
Of note, you may later find
System -> Administration -> NVIDIA X Server Settings, but that won't really work since it needs permission to write out your new xorg.conf. You can fix this under
System -> Preferences -> Main Menu. Click
Administration, right click on
NVIDIA X Server Settings and select Properties. Add gksu to the start of Command, click Close, and you're set. Next time you run NVIDIA X Server Settings there will be a password prompt and it will be able to write out the configs for you.