Is anyone else getting terrible lag/crashes and bugs using the Steam Version of Morrowind?

I used to own the old GOTY copy for PC but an old friend borrowed it and moved. So I just recently purchased the Steam version and its extremely buggy, crashing more time than I can count.

I purchased the Steam version on sale last year and while I had a few installation problems, I have had no performance or stability problems at all and haven't used my disk version since. I'm on Win7/64, what are you running?