Comment 5 for bug 69559

I had the same problem on feisty today.
After dpkg-reconfigure console-setup
when booting without usplash all was OK, but with usplash it was not.

This is what I found out about that:
(1) /etc/init.d/console-setup does nothing when usplash is running.
(2) /etc/init.d/usplash closes usplash and would runs /etc/init.d/console-screen.sh which sets fonts to, but is disabled when console-setup is installed.
(3) /etc/init.d/usplash does not run /etc/init.d/console-setup as it should (as I think)

So I changed in /etc/init.d/usplash :
        if type setupcon >/dev/null 2>&1; then
            CONSOLE_SCREEN=
to
        if type setupcon >/dev/null 2>&1; then
            CONSOLE_SCREEN='/etc/init.d/console-setup start'

and now it works here. :)