I'm running Ubuntu Maverick
I have a disk with quite a few sector errors and I'm running with -recover. When the first (error) sector is encountered, various messages are displayed (sorry, don't have screen shots or listings), but the messages are related to I/O errors and the inability to relocate the sector. It then continues to report the same error (ie. it loops) until I exit
Our of desperation, I tried an older version of clonezilla (20110131-maverick), and that version continues after the encountering the first error, it reports a bunch of other faulty sectors and eventually completes.