Your settings are fine. However which program are you using for serial comms? It looks like you are getting (well not getting) quite a few lost characters. I am not a believer in Hyperterminal and I never will be. Try something like CRT/SecureCRT. They're not free but are tons better.

Any halfway decent PC should be able to keep up with the flow rate which tends to suggest to me that the software is at fault.

I have seen others post logs like these before so your not the only one with this problem.