SQL Server and Use With Clause Governor

[jpeak64]

Does the "Use With Clause" governor work when applied to a SQL Server 2008R2 database using Cognos 10.1.1?  I have a framework where it appears to be working with an ODBC data source, but any connections using a 2008 Native Client Driver for SQL Server continue to write themselves using derived subqueries (Select x from (select x from (select x from table))) instead of CTE/with clause (with tmp as (select X from table) select x from tmp).

Same result when using the OLE connection to SQL Server.