Mountain Lion - Cycle though windows not working on Terminal

Since updating to Mountain Lion, the keyboard shortcut for cycling through windows is not working for me in Terminal (and is driving me nuts!).

Is there any known fix for this issue? The keyboard shortcut shows up on the Window menu as expected, but doesn't work.

I am, of couse, pressing CMD-`, and is not cycling. Selecting the option from the Window menu does cycle through the windows, though.

Update: Although not resolved in Mountain Lion, this got fixed in Mavericks. It was weird: it works properly on Lion and Mavericks, but breaks on Mountain Lion.

Check the Keyboard Shortcuts tab of the Keyboard System Preference-- make sure that Move focus to next window is set to your liking (in the Keyboard & Text item) and that there are no conflicts with any other shortcut settings. Barring that, a complete re-install of ML has fixed other quirks that cropped up when I upgraded.