PowerBook AE wireless. How to share internet connection with a XP laptop?

I'm running a wireless network in my house:
Powerbook running the latest OS X.
Airpot Express connected to Comcast Broadband
Need to set it up for a XP exuipped laptop.
If I set up Internet sharing in the Sys Prefs, the computer is able to log on my network, but my PowerBook loses the ability - the airport menu bar icon changes - instead of the 4 round signal waves it shows an upward arrow.
How do I set it up so I can have both computers running online?
Do I need Airport Extreme? Is Airport Express even capable of this?

I'm still trying, but every time I start internet sharing, the outside laptops can use the network, but my own PB loses it and the airport icon always turns into an arrow.... no network access available to me at all. Highly inconvenient.
Is there any way around it?

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