is this bad for a server?
 

http://crazyshit.com/images/slammed.gif

It's one of my webservers...

For the majority of regular requests even on loaded servers your apache processes shouldnt be doing more than .05% processing, or at most .10 or .15% processing per process. And even then only for a very limited number. There is definitely an issue here and you may start seeing slow load times, if you want some more info or some tips on troubleshooting your issues hit me up on icq at 36837470.