AA Lockups

I'm wondering if anyone might think upgrading to AA 2.0 from 1.0 may solve a problem I'm having. New PC, got Audition 1.0 installed (Cool Edit 2000 too). After I got setup, and start recording - everything works great. Recording and playback are just fine. But when I tell AA or CE to process an effect or do a mixdown - AA and CC (both of them!) lock up. Have to close the program through XP's Task Manager. Again - I could record for a long time, play back for a long time - no issues (also no problems with stability of XP). Just when processing- lockups.

Also - noticed that even when I shut down CE and AA properly - the next time I start them up - I get the screen that says CE and AA exited prematurely, and would I like to continue with what I was doing, or delete the project I was working on - the usual message you get if you have to reboot because Windows hiccupped. But I'm getting this error message every time, and not just after a Windows problem that forces a reboot. Don't know if that's related to the above problem or not.

Background - XP, SP 2, 3.2 GHZ CPU, 1 gig of RAM, CE wave cache set at 16384, temp directory set at 100 MB. EMU digital sound card connected to a Yamaha 01V. Can anyone offer advice? Thanks!