Network Manager reports "no network connection" even when a PPP connection is active

Binary package hint: network-manager

Disclaimed: I use my cell phone to connect to the Internet via PPP, using the "Modem Connection" option within Manual Configuration.

When the connection to the Internet is established, either by opening "Manual Configuration" and checking the "Modem Connection" option or by selecting "Dial Up Connections"->"Connect to ppp0 via Modem" the connection is established and quit usable. I can see that my routing table has been correctly updated, can browse web pages, use SSH, apt-get, etc... but Network Manager still reports "No network connection", and applications that depend on Network Manager reporting the existence of a connection refuse to function normally. Pidgin is one example: it will simply show "Waiting for network connection" in its status area and refuse to attempt connecting to any services.

If this is normal/expected behavior for Network Manager, please re-assign this bug to Pidgin.