Thanks for your replies.
I don't think setting the option will help us a lot. We will give it a go though. But it's the loading of the illustrations that is causing the trouble which is done even when you uncheck the Graphics option. Actually, when I do this manually, I will need to check the box again before printing otherwise my illustrations are not in the PDF.
Same for the MIF solution. The XML parsing isn't the main issue.
We've tried using dummy illustrations in the XML and then loading goes VERY fast. Before printing we replace the references to the real illustrations again and in the end it didn't give us any performance enhancements, because at that point it is still going to load the large illustrations.
I understand that scaling down and using a different illustration format will make the performance also a lot better bet lets assume for now that this is not an option and out of our control at the moment.
So the processing is not the problem. We think it's the fact that Frame loads the illustrations in a certain way which is NOT required for printing to TPS but only for viewing on screen. So, internally frame loads, converts, scales, and performs a number of actions on the illustrations (JUST for viewing on screen) and then copies the illustrations in the TPS just as they are (without scaling, etc) and then Distiller has to do the scaling, rendering, etc, all over again. So, if Frame server would be able to stop doing that and keep treating the illustration as a link only to use them during printing and leave the rest to Distiller...... Wouldn't that be something!