The font used by the text console (runlevel 3) is very small. The console also scrolls very slowly.
This is caused by the new radeon kernel mode setting driver.
The problem can be worked around by preventing the driver from loading. Add the following line to /etc/modprobe.d/blacklist.conf:
blacklist radeon
Then rebuild the initial ramdisk:
# mkinitrd -v -f /boot/$(uname -r).img $(uname -r)
The next time the system boots the display should be back to normal.