Here is a suggestion. I deal with my annoying coworker by feeling sorry for her. I mean something must be wrong with her mentally in order to enjoy causing this much trouble in the work place. She also will lie about ridculous things. Every time she does, I always call her out about it and ask why she has those beliefs. She usually has prepared excuses that are easily shown as untrue. I once caught her complaining about me to coworkers. I approached her right in front of everyone as to why she had these complaints. She was completely dumbfounded and practically ran away. Just remember that she most likely has an unrecognized mental disorder that she is not receiving help for but you are. Here you are trying to help yourself and participating in these forums. Your honest with yourself about your issues and recognize that your blow up was wrong. She probably has no idea her behavior is wrong. She probably had a horrible childhood with a mother just like her. It also sounds like her home life is one complete mess (if she's getting constant phone calls) So if she's making rumors approach her with proof to prove otherwise, in a calmly and orderly fashion. Or ask your general manager if the three of you can have a meeting where you can discuss her issues. Chances are she will calm up and leave you alone