"Smart Status" Disk has a few bad sectors

Under "Disk Utility" I found the following disk sector warning.
When I open "Smart Status" I find a the warning "reallocated Sector count", "HD prefailure".

I noticed when I'm working on my PC, the desktop can have a white line going through icons or the menu, this moves around as I leave and return to the desktop.
It also comes and goes.
I am also seeing damaged script as I write this.
Chunks of letters are missing.

The last warning on the list indicated "airflow failure". (If that helps).

Is there anything I can do here or is this HD fixing to die?

Acer Aspire 3610
Ubuntu 12.4

Thanks