Comment 134 for bug 435352

I can also confirm that the original udelay(2000) workaround does the trick.
However, this potentially introduces huge performance and other issues with
the kernel. Hence we should try to bring down the delay to something <=50.

I.e. try values in that range and see, whether this works, too.
In either way, thanks for your help and please report the outcomes!

There are multiple ways to compile a kernel, see for example here:
https://help.ubuntu.com/community/Kernel/Compile
I have used the "classical" way there:
https://help.ubuntu.com/community/Kernel/Compile#Alternate%20Build%20Method:%20The%20Old-Fashioned%20Debian%20Way

Apply the attached patch in the source directory with
 cd linux-source-2.6.31
 patch -p1 < ehci_udeal_2ms.patch

*before* you start the compile with either:
 AUTOBUILD=1 fakeroot debian/rules binary-debs
or
 fakeroot make-kpkg --initrd --append-to-version=-some-string-here kernel-image kernel-headers
(depending on which method you use, see linked reference)

As for the CONCURRENCY_LEVEL, anything >= 2 should be fine. These Netbooks are horribly slow with compiling the Linux kernel anyways :-(