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    I hear you on Annotation, but I'd rather have everything done dynamically, as the we have lots of expressions built into this thing. but is there a way to force ArcGIS to extend the labels by let's say an inch or two?
    – dassouki
    Commented Jul 23, 2010 at 12:21
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    There is the Label Manager dialog that you can access from the Labeling toolbar. It gives you a little finer grained control of your label placement. You can set offset to a specified unit, inches is one of the choices.
    – Zachary
    Commented Jul 23, 2010 at 12:47