willby,
Do you have the most recent version of Adobe Acrobat? Many programs also needed updates to work properly with WindowsXP. Especially those that use plugins, like the PDF plugin.
I would keep Service Pack 2, even though it does create problems for some programs. Most of the probelms are caused by software developers taking advantage of sloppy security in previous Windows versions. Now Microsoft is going to force them to clean up their programs a little bit. If more users demand fixes, it will happen sooner.
goates