Recently installed Mint 9 Fluxbox edition on my D260 and it has been working out quite well. Considerably more lightweight than Ubuntu 10.10 Netbook edition which I tried first.
Initially audio was working great. Well, playback volume is strangely low, but more importantly, my microphone just stopped working yesterday. I have skype on here and that may be part of my grief. I am able to get audio in through my USB headset but I have to explicitly tell skype to use the USB device. But the mic on the netbook itself just isn't working for me. I've messed around with all the levels in alsamixer, nothing is muted, but no joy.
If anyone has some tips that would be great.