got everything working correctly (with a different hd)..since I was upgrading my pc, I pulled the 18gig maxtor out of it and put it in the Peggy..all works great.. created 3 partitions.. all 18 gigs available. I dont know if its just me, but it seems as though it runs faster now (disk I/O).
maybe the previous hd was not "compatible" ? it was a Maxtor Fireball 3 2F020J 20 gig ata/133.