How to get around a performance issue when dealing with a lot of data

Hello All,
This is an academic question really, I'm not sure what I'm going to do with my issue, but I have some options.  I was wondering if anyone would like to throw in their two cents on what they would do.
I have a report, the users want to see all agreements and all conditions related to the updating of rebates and the affected invoices. From a technical perspective ENT6038-KONV-KONP-KONA-KNA1.  THese are the tables I have to hit.  The problem is that when they retroactively update rebate conditions they can hit thousands of invoices, which blossoms out to thousands of conditions...you see the problem. I simply have too much data to grab, it times out.
I've tried everything around the code.  If you have a better way to get price conditions and agreement numbers off of thousands of invoices, please let me know what that is.
I have a couple of options.
1) Use shared memory to preload the data for the report.  This would work, but I'm not going to know what data is needed to be loaded until report run time. They put in a date. I simply can't preload everything. I don't like this option much. 
2) Write a function module to do this work. When the user clicks on the button to get this particular data, it will launch the FM in background and e-mail them the results. As you know, the background job won't time out. So far this is my favored option.
Any other ideas?
Oh...nope, BI is not an option, we don't have it. I know, I'm not happy about it. We do have a data warehouse, but the prospect of working with that group makes me whince.

My two cents - firstly totally agree with Derick that its probably a good idea to go back to the business and justify their requirement in regards to reporting and "whether any user can meaningfully process all those results in an aggregate". But having dealt with customers across industries over a long period of time, it would probably be bit fanciful to expect them to change their requirements too much as in my experience neither do they understand (too much) technology nor they want to hear about technical limitations for a system etc. They want what they want if possible yesterday!
So, about dealing with performance issues within ABAP, I'm sure you must be already using efficient programming techniques like using Hash internal tables with Unique Keys, accessing rows of the table using Field-Symbols and all that but what I was going to suggest to you is probably look at using [Extracts|http://help.sap.com/saphelp_nw04/helpdata/en/9f/db9ed135c111d1829f0000e829fbfe/content.htm]. I've had to deal with this couple of times in the past when dealing with massive amount of data and I found it to be very efficient in regards to performance. A good point to remember when using Extracts that, I quote from SAP Help, "The size of an extract dataset is, in principle, unlimited. Extracts larger than 500KB are stored in operating system files. The practical size of an extract is up to 2GB, as long as there is enough space in the filesystem."
Hope this helps,
Cheers,
Sougata.

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