Airport Express won't extend Airport Extreme Network

I use an Airport Extreme (AE) to connect to the internet. I use an Airport Express (AX) to extend the network via a WDS network. Until recently all was fine.
Last week I updated the firmware for my AE. Since then my AX has not been acting as a WDS extension. I have tried several times tonight to make the AE and AX talk to each other in this fashion. I have reset the AX to factory defaults and reset the AE as well. So far, nothing works.
Thought the AX might have failed. However, the AX will connect to the AE network just fine. It just won't extend the network.
Any ideas will be most appreciated.
Thanks.

I have an Airport Extreme Base Station. I just bought an Airport Express to extend my network and connect a wired device in my living room to my network via the Ethernet port. The Airport Express obtains an IP address from the Airport Extreme but I can't seem to get out to the Internet ...at least via the Ethernet port. When I installed the Airport Express, I updated it to 7.3.1.
This sounds like a similar problem to the original post.

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    Message was edited by: Xaniel

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