Outlook 2003 - Advanced Edit of signature uses all system memory

By ryks ·
In advanced edit mode, Outlook opens MS Word - when I try to add a picture from a file I get the following error messages.
1)"Insufficient system resources exist to complete the requested service". 2) "The signature "C:\Documents and Settings\John\Application Data\Microsoft\Signatures\Reply.htm could not be locate. This signature may have been removed." The file name is the one I am trying to edit. When I close out the signature is in the folder.
3) Insufficient system resources exist to complete the requested service.

If I have the task manager open when I click on the advanced edit button, as soon as Word opens my CPU usage shoots up from 2% to 80% and only settles back to the 2% level when the "Signature could not be located" error pops up.

I have increased the page file size to 3500 - 6000 MB.
The size of my Word Normal.dot file = 66KB. (I deleted the old file).

I have run detect and reapair.
I have composed in = HTML and use MS Word 2003 to edit switched on.

I am running a Dell Latitude D830 on Windows XP Pro which has 2 MB of RAM and 50% available hard disk space.

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