Two factors can affect what is happening
Older bios, dated before 2004 (or late 2003), will not recognizes a hard
drive larger then 137GB.
So check the date on your motherboard bios, usually listed in the first 10
seconds of booting up.
Check the motherboard's manufacturers website for latest bios version.
I have no experience with W2K, but I would assume that an updated version,
like yours,
would allow it to recognize a partition larger then 137GB or 124GB in your
case.
Windows XP was not able to see a partition larger then 137GB until service
pack 2.
Run Windows update again and check both "Express" and "Custom" for updates.
It will recognize a drive larger than 137GB just fine as 137GiB.
So check the date on your motherboard bios, usually listed in the first 10
seconds of booting up.
Check the motherboard's manufacturers website for latest bios version.
I have no experience with W2K, but I would assume that an updated version,
like yours, would allow it to recognize a partition larger then 137GB or 124GB
in your case.
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