Cybermage,
There is a lot of confusion out there about setting the:
ConservativeSwapFileUsage=1
First of all, it does not "disable" the swap file as you stated. Instead, it forces Windows to treat the swap file as it did under Win95. Yes, it does get used slightly less, but also less efficiently. This setting was only available in Win98/98SE/ME. Basically, you are moving backwards by using this setting - which is not always a good thing.
Memory management was drastically improved in Win98 over Win95, though far from perfect. I don't know why everyone thinks they are
tweaking their system by using it, but apparently it has something to do with the idea that they are modifying something. Surely, Micro$oft would have incorporated it if the benefit was worthwhile.
nelljack,
It looks like you have this setting disabled already, since it is preceded with a semicolon (

. I would take all custom entries with paging out of your system.ini and let Windows handle it.
Only force settings if you're having problems. The default settings are usually the best.
Also, you can leave your virtual memory settings the way you have them, or you can make the min = max, so the swap file isn't constantly re-sizing. Totally up to you...
~cdogg
"The secret to creativity is knowing how to hide your sources."
- A. Einstein