>With all too much frequency the development environment seems to hang up. When consulted, the windows task manager shows CPU use at 100% and VFP8 using 99% of CPU. If allowed to go long enough many times it seems to finish whatever it was doing. This may happen when closing a form while running the project (not .app or .exe), but does not happen always.
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>What may be the problem? I have 250MB Ram. OS is Win 2000 but also has happened in XP. Only other applications open were Outlook and Windows explorer.

I've noticed this too on a Win2000 server and a WinXP pro workstation, but only since applying SP1. It has happened twice, but I am unable to make it happen, so I haven't reported it as a bug.