AVR-Chat

Hello,

I'm trying to write a program that implements the UART on my ATmega16 
and allow it to communicate with my PC.  In configuring the two 
registers UBRRH and UCSRC, I have run into difficulty.  I understand 
that these two registers share the same address space and that the 
first bit determines which register is written to.  However, when I 
run the simulator in AVRStudio 4, both registers are written no 
matter what that bit is.  Here is the code snippet and what happens 
in comments:

ldi temp, 0b10001100
out UCSRC, temp     ;UBRRH = xxxx1100, UCSRC = 10001100
ldi temp, 0b00000000
out UBRRH, temp     ;UBRRH = xxxx0000, UCSRC = 00000000

Is this just an issue with the simulator in AVRStudio or am I really 
making a mistake somewhere?  I do not have an STK500 because I'm in 
college (read: poor), so I have no way of knowing what the AVR is 
really doing.

Any help is greatly appreciated.
Thanks,

~Dan

P.S. - is there a way to directly input text in Hyperterminal?  What 
are some Hyperterminal alternatives?