Premier Elements 10 Laggy Performance

I just bought Premier Elements 10 a couple of days ago and I'm already pulling my hair out in frustration.  The performance is horrible, every modification is laggy.  Especially noticiable is vertical and horizontal scrolling of the timeline.  I will scroll the mouse wheel and wait 5-10 seconds of more for the scrolling to catch up, meanwhile the entire program is unresponsive. I hope someone can offer me suggestions as to how to fix this.
Here are my computer specs:
Intel Core i7-2600k CPU @3.40Ghz
8GB Ram
Win 7 64-bit
AMD Radeon HD 6900 Series 1762MB RAM
I have a SSD Drive for the Windows and programs and a 7200rpm 500GB drive for projects and caches which is completely clean with a new format.
Here is what I have tried:
Updated Win7, Premier Elements, Audio, and Video drivers to latest versions.
Installed the latest version of Quicktime
Tried to run Elements in Compatibility mode but the option is grayed out
Removed Virus Scanner / Firewall
Used Videos from 2 different cameras, one is a 3rd gen Flip Ultra HD camcorder.  I used the specific preset for the Flip and got the same performance issues.  I also tried converting files from both sources to match other presets from Permier Elements, which also didn't work.
Halted all non-essential processes and elevated the Premier Elements process to high priority.
Used the Media imported to bring files into the project.
Thanks in advance for any suggestions.

First, we have to assume you've got the 64-bit version of the program installed. Otherwise, you won't be able to take much advantage of that 64-bit operating system.
Matching the correct project settings to your video source is vital to optimal performance. When the two are matched, you will see no red lines above your clips when you add them to the timeline. Is that the case in your project?
Have you entered the BIOS and ensured your second hard drive is properly set up there? You'll get greatly reduced performance if you hard drive is set up in Windows but not set up in your BIOS. A good test would be to do a short project on your C drive with all of your media sources on that drive. Are you still experiencing the lag.
There is absolutely no reason you should be getting poor performance on that system, if you've got everything set up properly. With that hardware, this program should fly! I'm on a dual-core 2.6 ghz system and Flip video runs like a top! So we need to figure out what you've not got set up properly.

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