That starter had been working fine for about two years, until I jerked it's chain playing with the funky remote start switch I had. No doubt I damaged the flywheel at that time, which led to the failure of the old starter and took out the new starter as well.
Judging from the pattern on the ring gear teeth it looks like it's getting enough bite, not to deep, not to shallow so I don't think alignment is a concern in this case.
Argess brings up a good point about TIMING though, I should have mentioned that earlier. YES, I'm running right on the EDGE of the starter having a hard time cranking the engine under "hot heat soaked" conditions. In fact, that's generally HOW I set the base timing! I advance with a light to 20 degrees, THEN I go for a drive and get the motor good and hot. Wait for the heat soak, try the starter, if it grunts and groans to much I back off the timing "just enough" to where it will crank, but not crank as fast as it could. So I know I'm putting a heavy load on the starter under hot conditions, but it holds up (as long as you don't jerk it's chain).
Eljaro, good post on how to modify the starter for a perfect match!