Darryl's response should work.
The reason that you were running out of space is that the memory needs of FREQ are a function of the number of DISTINCT values of the variable times it's length (the reference manual should have the exact formula). With that many observations and a text field, you'll could have lots.
The SORTing and SUMMARY are disk space dependent. SQL is a mix, as it tries to put as much in memory as it can and then relies on disk. Both will take longer than FREQ would have done if you had enough memory.
Doc Muhlbaier
Duke