Lion - Can it cope with multiple screens yet?

I have two screens attached to my iMac.  It's terrific how MacOS Expose deals with them up 10.6.8 as compared with my PC at work.  At home, amongst other things, iMovie immediately knows whether or not my second monitor is attached and plays footage back on my second display leaving my main monitor for iMovie editing.  It does this of it own accord with no intervention from me. 
At work on the PC I can't even pursuade the machine to keep its windows displayed together on the correct screen without having to constantly mouse them around.
I have head that 10.7 (Lion) can't cope with multiple displays any more so for this reason, and one or two others that I won't go into here, I have resisted the urge to upgrade.
Can anyone confirm that this is true and, now that some time has passed,whether or not Lion has now been updated to recover this functionality?
Much obliged.

Seems I was incorrect.  One can use a second monitor as an extended desktop on an iMac with Lion installed.
Watch this video and see the guy do it.
http://www.youtube.com/watch?v=l5nTGlyWpTM

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