ok, first of all, i think that your problem is related to some bugs with compiz < 6.0 (i suppose that you have compiz installed and of my experience compiz is very slooooow). now, to reinstall the driver you have to do a ./ati-driver-installer-8.41.7-x86_64.run and follow the onscreen instruction to build the package for sled10.1 or opensuse10.1 if you don't find out sled10.1.remember that you need the sled 10.1 or opensuse10.1 package or the driver would not match the kernel installed. (for what i know sled doesn't update the kernel).
I think maybe video playback is better (but I did 65 updates in the same reboot, maybe it was the player), but refresh rate when scrolling is <2 fps. but only the scrolling part, like the window of the web-browser.
Is the package I need the ati-driver-installer-8.41.7-x86.x86_64.run file? I have that already downloaded. Is running that all need to do to install 8.41.7 again?
The only reason I use sled10.1 is because ubuntu didn't work(X), debian didn't work(wifi), and I had gotten sled10.1 from a magazine, and tried it, and it worked. So now I use SUSE.