Yep. Agree here. They already started getting excited about the spacing in Windows 7, but on 8 they went full retard.
I'm starting to think I have to code my own replacement for this crap. You can't do any serious work with multiple windows open, when this list quickly grows bigger than the monitor.
The registry entries get so close to correcting it..just can't figure out how to remove that stupid invisible padding. I'm sure it has to be in there in some explorer.exe resource..but where.