Posted upstream as requested by Gentoo maintainers. See https://bugs.gentoo.org/show_bug.cgi?id=421853 for details
https://lkml.org/lkml/2012/6/14/494 is a duplicate of this issue
As mentioned downstroam, rewriting this patch (https://421853.bugs.gentoo.org/attachment.cgi?id=328986) fixes this. Although, I don't know whether this patch would be necessary in general for other users.
" Interestingly I needed to compile the nvidia driver and start X for the issue to present, even without the patch."