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This article explains that a Memory Allocation Error occurs during runtime when the SORTSPACE environment variable is too large.

Problem:

We received a Memory Allocation Error 105 while running a program containing an internal sort. Is the run-time system unable to allocate sufficient memory space to successfully carry out the attempted operation because of insufficient memory space?

Resolution:

This error occurred because the SORTSPACE environment variable was set to too large a value on the server. A larger value for SORTSPACE will generally result in a faster sort. However, if a value is specified that exceeds the capacity of main memory in the computer, such that the operating system has to page memory in and out, performance will be degraded and an error can occur.

Old KB# 14322