Cannot connect airport express to existing Verizon DSL Network

Hi all,
I have just purchased a 802.11n Airport Express. The purpose was to extend my current wireless network and to rock tunes. I currently have a wireless DSL modem connected to Verizon via ethernet. The modem is a GT704WG verizon dsl wireless modem. When I try to use the airport utility and go through the set up I am told that the AE cannot connect to the network. During the setup it does see my current wireless network and asks for the password which I provided. But still it doesn't work. Is there a compatibility issue here? Will a 802.11n AE work with an existing modem?

Hello ferrjerr. Welcome to the Apple Discussions!
Which wireless encryption standard are you using on the Actiontec GT704-WG Gateway? WEP or WPA? If using WEP, I strongly suggest switching to WPA as WEP is no longer considered secure. If you are already using WPA, please try temporarily disabling it to see if the AirPort Express Base Station (AX) can now join the Actiontec's wireless network.

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