Hi,
even though XP can address 4 GB of RAM, only 2 GB of this is directly addressable by applications, the other 2 is shared with Windows. (More on this at:
RAM, Virtual Memory, Pagefile and all that stuff.
Try increasing your permanent swap-file and look at fragmentations on the hd. Or upgrade to 64 bit XP which can address 128 GB! (
Windows XP Professional x64 Edition: Top 10 benefits)
/Petri