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Default Excel 2002 performance

I'm running into really bad performance problems with Excel 2002.
Problem 1: - Have a workbook with multiple worksheets approx 145MB and now
approaching 63,000 lines. Excel often "cannot complete with available
resources", can only paste limited data to clipboard even when empty, cannot
sort or - in some cases - filter.

Problem 2: - more intriguing; I have a text file created from another
application that's only 50MB, also 63,000 lines with 30 columns, that takes
an hour to open.

I'm using a Dell Latitude D600, 1.6GHz processor with 2GB RAM, so memory's
not a problem.

Does anyone have any advice and/or know if Excel 2007 will perform better?
--
RP
 
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