Airport Extreme wireless no longer working. Need help!

Until a couple of days ago, I had my brand new Airport Extreme (ver 7.2.1) connected to a cable modem and everything was ok. My Macbook and my Airport Extreme were going wireless fast and easy.
After moving out of town, I’ve changed internet provider and I had to buy a ethernet modem, thus I bought a NETGEAR ADSL2+ modem (model DM111P) and suddenly I lost my wireless connectivity.
The modem looks working just fine. Infact, if I connect my Macbook to the modem NETGEAR DM111P with an ethernet cable, everything is ok.
Also, if I connect my Airport Extreme to the modem NETGEAR DM111P with an ethernet cable, and than I connect the Macbook to the Airport Extreme with another ethernet cable, everything is still fine: I can surf the web without any problems.
But when I try to go “wireless”, my Macbook is not able to find any base. I tried reseting my Airport Extreme to the factory settings and starting over, but It is impossible to “configure” the airport express wireless, because the Macbook doesn’t see it.
I’ve tried also with a wireless pc, but it was not able to find any wireless device.
I tried reseting my modem NETGEAR DM111P and my Airport Extreme to the factory settings and starting over again and I’m still not able to establish a wireless network. I can only access to the internet via ethernet cable. I’ve also turned off encryption. The computer still didn’t see the network. The IP address looks to be valid: 10.0.1.1.
I don’t know what else to do.
Is the Airport Extreme to be considered out of order and should I obtain warranty service or it is just a matter of settings? If so, what kink of settings?

I have been having a similar problem using 802.11g
with the netgear DM111p it's happy with ethernet but apparently has compatibility issues with AEBS
I found a number of reviews from AEBS users who have effectively given up trying to make this work
http://store.apple.com/Apple/WebObjects/ukstore.woa/wo/StoreReentry.wo?productLe arnMore=TK797
I'd say both companies should find a workaround

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