Abstract. In earlier work on a limited form of extended resolution for CDCL based SAT solving, new literals were introduced to factor out parts of learned clauses. The main goal was to shorten clauses, reduce proof size and memory usage and thus speed up propagation and conflict analysis. Even though some reduction was achieved, the effectiveness of this technique was rather modest for generic SAT solving. In this paper we show that factoring out literals is particularly useful for incremental SAT solving, based on assumptions. This is the most common approach for incremental SAT solving and was pioneered by the authors of MINISAT. Our first contribution is to focus on factoring out only assumptions, and actually all eagerly. This enables the use of compact dedicated data structures, and naturally suggests a new form of clause minimization, our second contribution. As last main contribution, we propose to use these data structures to maintain a partial proof trace for learned clauses with assumptions, which gives us a cheap way to flush useless learned clauses. In order to evaluate the effectiveness of our techniques we implemented them within the version of MINISAT used in the publically available state-of-the-art MUS extractor MUSer. An extensive experimental evaluation shows that factoring out assumptions in combination with our novel clause minimization procedure and eager clause removal is particularly effective in reducing average clause size, improves running time and in general the state-of-the-art in MUS extraction.