Following error occurs when attempting to use Rewrite option on higher levels of intelligence in version 8.0:
"Not enough storage is available to process this command"
Rewrite or Rewrite with Index option is used to generate alternates. After generating 200-300 alternates and application open for 30-60 mins, it errors out and crashes.
Waiting for fix to be released in a future version of SQL Optimizer for SQL Server.