Same boat with layoffs here (2x). I applied for and made it to final interview for FTO spot. Other candidate chosen. Talked to other candidate and they absolutely HATE it (primarily the DM but the drugs are a hard sell, too).
Advice: here's what I did ---- I talked with the rep who had the job before me. This rep said the DM sucked monkey balls and was a micro-manager. This rep said to take the job for the benefits but ask for more $$$ since it's only a FTO spot and has deep manager issues. I had mixed feelings about the job and had something else lined up, so it didn't matter either way. At final interview the DM asked about salary and I just blurted out an amount that was 17% more than what I was making (and I've been in the industry for many years, so it isn't low). The DM said, "I think we can do that." Now, whether or not they'd have done that remains to be answered but I have good feeling they would have.
After seeing the current FTO rep and speaking with them, it turned out to be a blessing in disguise. This rep doesn't generally have bad feelings toward other people - but this rep absolutely HATES their DM (their face reddens when they talk about the DM). I feel sad for the rep but at least they have a job with benefits.
I landed the other option for about 15% less in pay but I have a great DM and workable geography.
I hate to tell you not to apply for the job b/c I was where you are: kids, mortgage, wife, in need of benefits -- but like other poster mentioned, if you need to do it for two years (this could be shorter, you know), do what they tell you to do for two years and be looking the whole time. They're NOT going to be loyal to you.