? Error: Out of memory

I have a generic function that takes all .m files (these .m files only contain data arrays) and converts them to .mat files in a loop. However, I get this Out of Memory error after ~100 of these files are converted (there are ~1000 of them). The workspace is mostly cleared in between each one and the .m file is even deleted between each file. What could be causing this issue and How can I fix it?

[Kirby Fears]

Set a break point inside of your loop. Using F5, you can step through each iteration of the loop to see which variables are building up in your workspace.

[Walter Roberson]

Which MATLAB release is being used? Historically there were a couple of releases where save() had a memory leak.