You probably have one of the new SanDisk drives configured to be Fixed rather than Removable. (A Windows 8 requirement). It shouldn’t have stopped it from being formated but will stop it from being used to install Windows without some jerking around, but it can be done. A search of the forum for msgs the past 6 months or so should yield the steps.
BTW & FWIW I have flash drives formatted as FAT16 and FAT32 that are bootable, some with U3 still installed on them. NTFS does not equate to bootable.