Reset command for missing panels works only for current session only

try this:

cd /home; sudo chown -R $USER:$USER ./$USER

Then do the usual reset panels thing. Might help. Reboot to test.

Is your system updated, according to last post of bug report 'some package' fixed the issue.

Maybe try:
killall gnome-panel
to restart the service.

To start the panel after reboot try Alt+F2
run in terminal
gnome-panel

maybe you'll get some error messages to clarify what's wrong.

Any related errors about gnome-panel in .xsession-errors (hidden file in /home/user)?

This will remove all your customized settings (and other hints from users).
http://shibuvarkala.blogspot.com/2009/09/howto-recover-gnome-panel-disappeared.html

What is it anyway, desktop, EeePC, netbook?
https://help.ubuntu.com/community/EeePC/Using
https://help.ubuntu.com/community/UbuntuNetbookEdition/ConvertGnomeSession

What could be also the cause is no space left on disk.
So updating via terminal may give a hint.
sudo apt-get update
sudo apt-get upgrade

In case clean up package cache.
sudo apt-get autoremove && sudo apt-get clean && sudo apt-get autoclean

Actionparsnip-
the command you suggest returns the following, no idea what it may mean as I am logged in on the desktop:

tom@tom-Ubuntudesktop:~$ cd /home; sudo chown -R $USER:$USER ./$USER
chown: cannot access `./tom/.gvfs': Permission denied
tom@tom-Ubuntudesktop:/home$

When .gvfs is mounted no access (see /etc/fstab).
You can try:
sudo umount /home/tom/.gvfs

http://ubuntuforums.org/archive/index.php/t-750583.html
http://www.linuxquestions.org/questions/linux-newbie-8/how-can-i-reset-my-permissions-to-solve-nautilus-problem-799647/page2.html

Sam & Actionparsnip:
Successfully ran command cd /home; sudo chown -R $USER:$USER ./$USER after running unmount? command Sam provided. This did not resolve the problem however.
The disk has 30GB free - it is a Dell Dimension desktop (386) with Viewsonic monitor. The package cache was cleaned anyway and the update and upgrade commands run. No change upon reboot - no panels.
Ran killall gnome-panel and gnome-panel - no error messages returned- this started the panels but no panels after reboot.
Ran the procedure at http://shibuvarkala.blogspot.com/2009/09/howto-recover-gnome-panel-disappeared.html - still no panels after reboot.
Ran the patch referenced by Sam in the bug report - still no panels after reboot.
.xsession-errors -includes no references to gnome-panel
Thanks

If your system is updated the bug obviously isn't fixed for you.

Since I don't have panel issues, this is the content of my
/usr/share/applications/gnome-panel.desktop
[Desktop Entry]
Type=Application
Name=Panel
Comment=Launch other applications and provide various utilities to manage windows, show the time, etc.
Icon=gnome-panel
Exec=gnome-panel
StartupNotify=true
Terminal=false
X-GNOME-Bugzilla-Bugzilla=GNOME
X-GNOME-Bugzilla-Product=gnome-panel
X-GNOME-Bugzilla-Component=general
X-GNOME-Bugzilla-Version=2.30.2
Categories=GNOME;GTK;Utility;Core;
OnlyShowIn=GNOME;
NoDisplay=true
X-GNOME-AutoRestart=true
#X-GNOME-Autostart-Phase=Panel
X-GNOME-Provides=panel
X-GNOME-Autostart-Notify=true
X-Ubuntu-Gettext-Domain=gnome-panel-2.0

## Further diagnose

After reboot when there're no panels, are there errors when you run (as suggested in the blog link):
alacarte

Do you run compiz? Is 'gnome compatibility' enabled?
And compositing of metacity should be disabled while running compiz.
Gconf-editor, path:
/apps/metacity/general/compositing_manager

Do panels appear after reboot when you disable 'visual effects' in system preferences -> appearance?

Any hints in log files (system administration -> log viewer), e.g. syslog, auth.log
Maybe it's a graphic card issue, is that a nvidia?

In case create a test user account to see if issue remains.

The very last, not elegant idea, would be to purge gnome-panel and reinstall, although no guarantee that it works afterwards.
You need to know this will remove lots of other packages incl. configuration, which need to be reinstalled again.
To view what would be all removed you can simulate the purge.
sudo apt-get -s purge gnome-panel

My gnome-panel.desktop file is identical to yours.

Sorry I don't know what alacarte is and there is no URL for the blog link you reference.

I don't run compiz (which if I researched correctly is a 3d program?)

My visual effects are set at none.

I don't see anything in the log files, but as you may have guessed, I am new and have no idea what I would look for but I see nothing about panels.

My graphics card is an intel 82810 E DC-133 chipset VGA compatible vintage 1999-2000. I found this http://ubuntu-tutorials.com/2010/05/06/ubuntu-10-04-lucid-blank-screen-at-startup-workaround/ however my video seems to be working fine, however after reading this- I noticed I do get the error 'no suitable mode found' & 'unknown command terminal'
Can't figure out how to edit the grub file referenced as it is read only in the editor and I am not sure I should since I don't have a black screen

I created a test user and the issue is the same for that user.

I'm pretty sure I don't have the technical skill to purge the gnome panel and reinstall, would I be better trying to create some kind of startup command that runs the panel reset commands - is that even possible?
Thanks

This issue is resolved - following information gleaned from http://www.techimo.com/forum/technical-support/249501-ubuntu-10-04-disappering-panels.html

After reboot and restoring the panels using gnome-terminal with this command set:
gconftool --recursive-unset /apps/panel;rm -rf $HOME/.gconf/apps/panel;pkill gnome-pane

Saved running applications - System, Preferences, Startup Applications, Options, check- Automatically remember my running applications.

After both warm and cold reboot, the panels now appear.