What linux distro for a: Bit-Torrent + Usenet Box

I have an old computer that I would like to turn into a 24/7 Bit-Torrent + Usenet , Download/Upload Server Box.  I would like a simple setup where I can upload Torrents or NZB's from my Windows machines to a shared folder on this linux box and it will auto download the files (and seed in the case of the Torrents).  I will also be using this to stream media to my XBMC (Xbox Media Center) units around my house.  So really all I need to do to stream the media is setup a SAMBA share or something similar so that my XBMCs can pull down the info via the LAN.

Here are the old computers specs:
CPU: p3 800Mhz
RAM: 256M
HD: Swapped out an old 20GB for a 200GB drive

So I need to know what linux distro to go with to set this up?  I tried Ubuntu (7.10) but it seems to be having issues installing on this old of a machine. I was thinking of going with DSL (http://www.damnsmalllinux.org/) but I am very new to linux so I don't know where to begin and the GUI isn't all that user friendly.

Any suggestions?
basskozzAsked:
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Pétur Ingi EgilssonSoftware Engineer -- ConsultantCommented:
For usenet you could use hellanzb to load .nzb files from a directory, it got bunch of configuration via text files so it's nothing you'll throw up in minutes :(

use samba for sharing, you'll need to configure /etc/samba/smb.conf [ "man smb.conf" for information ]

I don't torrent so i have no idea how to...

You have little RAM  so i would keep the system in text mode.

Try Debian Linux.

This stuff takes some time to configure, depending on your experience with Linux.
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nedvisCommented:
Exact same thing I'm doing with my Dell Optiplex GX1 ( Pentium III 500 MHz /320 Mb SDRAM ) with PCLinuxOS 2007 installed on it.
I found PCLinuxOS 2007 most configurable , very easy to install, configure and maintain, with really good support for all kinds of multimedia formats ( proprietary
and open-source) and on top of that with excellent graphical configuration
which is actually infamous Mandrake Control Centre where you can configure everything in one place .

Should you decide to use full graphical  environment there is great Ktorrent (bit-torent client for KDE ) whit which I haven't had a single issue so far. I'm
currently downloading and uploading approx eight torrents ( Slackware 12 DVD,
Red Flag Linuc 2- CDs , MintLinux 4.0 1 iso , OpenBSD 4.2 1 iso and ,sure, PCLinuxOS 2007 ).
Good implementation of SAMBA ( file and printer sharing for Windows networks ) i PCLinuxOS gives you powerful control over your local network configuration.
Besides Samba file sharing you can also use great proftpd ( FTP ) server which is very easy to install, activate  and configure.  
I see no reason to not to use PCLinuxOS ( http://www.pclinuxos.com ) on faster machine and with larger hard-disk for your torrent files
good luck
 
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