After days of tinkering, installing, uninstalling, updating... still can't run it properly.

I have tried all possible solutions listed in the forums and still no luck.
AMD Rage performance driver
AMD Catalyst 11.10 preview driver v2
RageConfig File
id software/rage cache folder
atioglxx.dll
Disable catalyst AI
Rage launch parameters
Rage update

I've tried every possible combinations i can think of.
I Probably experienced a lot of different problems, fixing one would lead to something different.

1 FPS, decent texture
good FPS, checkerboard texture
decent fps, pop-ins with several wrong texture
good fps, with low quality texture

this is where i am currently:
Rage Updated
AMD Catalyst 11.10 installed (uninstalled previous driver before installing)
with cache folder
RageConfig on high settings
Catalyst AI enabled
atioglxx.dll in rage folder (if i remove this i get checkerboard texture)

If i start a new game, everything is perfect. High FPS, perfect texture, no pop-ins.
But after I enter the ghost hideout, the texture get's messed up. Wrong texture appearing everywhere.
Never experienced crash on startup and on saves.

PC Specs:
OS: Windows 7 Ultimate 32-Bit
CPU: Intel Core2Quad Q6600 @ 2.4GHz
RAM: 3 Gb
VCard: PowerColor ATI Radeon HD 5850

I guess i have to wait a few more days hoping they would release a working patch.

The same exact thing has happened to me too. This game start off to be beautiful and great! Just as I started to get immersed in the game I came into the first town. All the textures from the chairs to the counters, tables etc were all just blurry and blocky. I tried for the past 3 days with different drivers too, messing around in the AMD control center, nothing would fix it. I can run the game at 60fps's and there is little to none texture popping which is great! However like I mentioned, the 2 towns I ran into just didn't have textures on them at ALL. This is so obnoxious, and it svcks because Rage 'played about an hour or two before I couldn't take it' is a great game. My specs by the way are:

AMD Phenom II X6 3.3ghz
Radeon HD 6950 1GB 256-bit GDDR5
12 gigs of ram
500 gig HD with plenty of space
Win 7 64bit edition