Updated to the latest Bukkit which should be a bit faster considering they reduced the aggressiveness of chunk saving. I'm also considering adding TreeAssist to reduce the number of half-chopped trees.
I decided not to upgrade this server to the snapshots because we'd lose bukkit. So we'll stay with 1.3 for the time being. We do have 1.4 running on our old IP though, but this server is not administered at all