Not yet, I contacted servint sales team and still waiting for a call back.
I harassed the tech guys a bit more and got
"You are using (or attempting to use) roughly three quarters of the entire host server's CPU. This is due to the 250+ apache processes, each of which are taking a fraction of CPU. I killed a few log processing jobs, so your logs will be skewed for the day, but this should free up some CPU. I've also tuned eAccelerator to use a bit more memory for caching.
What the other techs have told you so far is true. Nothing is technically "wrong" here, you are just pushing the hardware and software constraints of your package beyond their limits, so speed is suffering."
So it sounds like we really just need to upgrade to a new server. I'll give sales another call if I don't hear within the next 2 hours.