>>May I wrong in my understanding?
Yes text holds 2,147,483,647 chars.
Apart from text in row it holds a pointer to the page where the data is held so some string functions will not work on text datatypes.
Don't know where you get 256 from (you are using sql server?). Have a look in bol.
How are you displaying the text? Query analyser defaults to 256 chaars max per column for results - go to tools, options, results to change it.
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Cursors are useful if you don't know sql.
DTS can be used in a similar way.
Beer is not cold and it isn't fizzy.