How to use an iterator to set the 'Template Extent' for the CREATE FISHNET tool?

Discussion created by mzweifler91 on Nov 15, 2012
Latest reply on Nov 16, 2012 by jamesfreddyc
I have a base "fishnet" polygon grid. I attempted to create a model that iterates over each cell in that base fishnet grid and subdivide that cell with the Create Fishnet tool into a new feature class.

I expected that I simply would need to set the output from my iterate feature iterator  as the 'Template Extent' parameter for the Create Fishnet tool. However, while I can see the name of this iterator output model variable in the drop-down list for the 'Template Extent' parameter;  the name does not have the blue Model Variable icon. And more importantly, the template extent does not update at each model iteration. 
Is there a way that I can make my model recognize aan iteration output as a template extent?  ( see screenshot below)