Or if you don't mind, after installing SP1 (or SP2 if you want), just go to disk management and make a seperate partition with the remaining space. SP1 has to be installed as far as I know to get XP to recognize over 127GB of space. I had the same problem with my 160GB HD's, one I just reformated after I installed SP1, and the otherI couldn't because XP was installed so I just made a partition with the remaining space.