Which simulator are you using?
Your program ran fine under Raisonance (Ride). Took about 5 seconds running at full speed to set P2.2 and the elapsed time came out very close to 1 second.
If you are using your simulator in autostep mode at about 2-3 instructions per second it will take a very long time to see your program finish. With RIDE you can place your cursor on a particular line and let the simulator run at its fastest rate until it reaches that line.

Hal