This issue was resolved by removing the /3GB flag from the boot.ini allocating more memory to the kernel.
If this issue wasn't resolved by the above you can also try the following:
-Stop the scenario (if it is still running)
-Reboot the master server, needed in order to reset paged pool allocation
-On the master server make the following changes to the ws_rep.cfg file located in the WANSync install root (c:\program files\xosoft\wansync by default
t):
-Existing line:
# BuildSnapshotInMemory = True
-Modify to:
BuildSnapshotInMemory = False
-Existing line:
# ReadJournalByFread = False
- Modify to:
ReadJournalByFread = True
Save the changes above and restart the XO Engine in order for the changes to take effect.
These settings should be applied to the replica as well.
Finally have a look at: http://support.microsoft.com/default.aspx?scid=kb;en-us;304101 and make the necessary changes the registry.