Older version of Excel only support 16,384 rows per worksheet. You are saving as Excel7 (which is Excel 95) and has this limitation:
See here for a summary of sizes per version:
Change your code to another format, See here for all the allowed formats: XlFileFormat Enumeration
However the file format is actually an optional argument in the SaveAs method, so you could leave it off altogether: "For an existing file, the default format is the last file format specified; for a new file, the default is the format of the version of Excel being used."
Source: WorkBook.SaveAs Method