Can connect via Ethernet but not via AirPort

I'm having some problems using my AirPort in Germany. I can connect just fine using an Ethernet cable direct from the modem (NETGEAR DG632B) but when I have plug the Ethernet cable into the AirPort I can't connect. I beleive it has to do with PPoE settings, which I am not really familiar with.
There are three spots I can enter my account info. 1, on the modem itself via Safari; 2, on the AirPort via AirPort Admin Utility; 3, on the Mac via Network Preferences. I have input my PPoE username/password into the modem while directly connected. I would tend to think that this shoudl be it and that everywhere on the LAN side of the modem would be able to utilize that account. The NETGEAR settings page shows the ADSL port Network Type as PPPOE and the LAN port as DHCP, so I have attempted to set up my AirPort and Network prefs using DHCP. That leads to "You are not connected to the Internet. Safari can’t open the page “http://www.google.com/” because your computer isn’t connected to the Internet." Network Diagnostics shows green at AirPort, AirPort Settings, Network Settings and ISP. It initially shows yellow at Internet and Server which lead to "Failed" on both. Network Diagnostics then asks me to choose my network port configuration (Built-in Ethernet, Internal Modem, Airport,Other). I select AirPort and select my AirPort network. Then all the Status lights except for AirPort turn red and asks if I use a DSL or cable model. I select yes, it asks me to restart the device, I do, it asks if I can restart any other devices, I select no. At that point Network Diagnostics says it is unable to connect to the Internet.
I have down-graded to Airport Firmware v5.5.1 as some have advised. No change. I'm running MacOS 10.4.6
My AirPort is just fine as I can use it to set up a LAN with no problem. I even pulled out my old Graphite base station and tried it. Same thing.
I have tried putting my PPPoE account info into my AirPort, my Network prefs both individually and both at the same time. Nothing. Is there something that I'm missing?

You'll need to connect your modem to your AEBS WAN port, configure your AEBS with the Airport Admin Utility, setting up the PPOE to properly log into your modem connection.
You should set up your mac to us DHCP (not PPOE).
THis should allow you to use either the ethernet port or wireless from your AEBS.
I hope this helps!

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