Why only External trust type and No Transitive on 2008 R2 server (win 2000 AD level)?

I was trying to set up domain trust between the two domains:
AD 2003 on 2003 server
AD 2000 level on 2008 R2 server

I did the set up on the side of 2008 R2, and found it will always go with trust type = External and Transitive = No. My preference is trust type = Forest and Transitive = Yes. But I found there is no way to choose. Did I miss something? Can you help?
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Will SzymkowskiSenior Solution ArchitectCommented:
This is by design. When you are creating a trust between a Forest that is set at the 2000 Functional Level that is the option you have. See External Trust details on the link below.


Also why not raise the functional level of this 2008 forest?


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CastlewoodAuthor Commented:
actually we have to raise both domain and forest to 2003 level to see the transient
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