Shutdown not working again from Kicker (or right-click on desktop to "Log out ...) after a standard install of KDE3 Factory. Reboot working fine.
If you change /opt/kde3/share/config/kdm/kdmrc to include the -p parameter on the HaltCmd line, it does shut down properly.
If this is not a KDE 3 issue, I will put in a report on Bugzilla. Please advise.