I got it working now. On my blog I posted the full example. Blog entry:
http://justaddwater.dk/2006/03/11/how-to-limit-table-cell-height-gmail-style/
Working example page:
http://justaddwater.dk/wp-content/uploads/2006/03/fixed-table-cells-working.html

The trick is to add table-layout:fixed to the table, and then add the
following to the td:

td{
 text-overflow:ellipsis;
 overflow:hidden;
 white-space:nowrap;
}

I found the working example from BlakeMS at
http://www.blakems.com/archives/000077.html

Thanks everybody for your help and suggestions!
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