getting weard textures in crysis demo need help

so i download the crysis demo, install, start it up and at first it looks like it works for the first 20 sec but then when i get to the part with the plane flying over the island the plane is translucent. also when you start inside the plane the guy talking to you is translucent except from his apparent eyes. if anyone can help me out id really appreciate it.

some pics of what im getting.

my setup -

AMD athalon 64 X2 4600 (2.4 Ghz)

EVGA e-Geforce 8800 gts 320mb (with beta driver 169.01, did have the previous but thought it was a driver issue)

2gbDDR2 memory

winXP MCE

the editor is giving me the same problem also but it just has a black screen even when i add geometry etc.

Its strange how some people's great cards cant even get it to work while my 7600gt works great :S