Just tried to do a migration from sbs 2003 to sbs 2008, the install failed on the answer file because our domain name was single label. Now we are stuck on how to proceed. Everything I have read says that you cannot rename the sbs 2003 domain so it seems we would need to do a clean install of sbs 2008 with a new domain name but the issues that I am worried about is how to move the existing Exchange data over. I don't mind recreating the AD stuff as we don't have that many accounts anyway.
Also open to other ideas to "make" the migration work if possible. I would love to be able to just ad .local to our current domain instead.