Getting Error messages, Please help

I'm getting an error messages when trying to play an xvid or avi file using BS Player version 0.8.6.500. I'm using windows 2000 proffesional. When I open a xvid or avi file I'm getting error messages 'Overlay Failed' and then 'Display hardware is not capable of color-space conversions Switching to RGB'. From there the file loads and is unviewable. What am I doing wrong. I have uninstalled the player and the codecs twice. Any help would be appreciated.