Finally connected but no boost in signal strength on WRE54G

It took a while but I finally got the WRE54G v 3.04.01 to connect to my network. I have a  WRT54Gs Router v2.07.1 Both blue lights are now on and it seems to be connected and working but I don't have any increase in signal strength.  I matched the SSID (broadcasting) the channel and WEP key settings. When I go over to our addition my signal strength drops to 1 or 2 bars and from 54g to 11g as indicated on my laptop. If I then connect the repeater right next to my laptop there is no signal improvement or change in anyway.  I disabled my connection and re-enabled it without any improvement either. Could it be a setting on the router or maybe it needs a firmware update? I saw on the web site that it met the minimum version at 2.07. can you please advise what i might try to increase the signal strength. thanks.k

Well I made some progress with my problem today. I'm not sure if it was a couple small changes I made on my router or just another day and a rebooting of the PC's but either way today Id downloaded a wifi signal troubleshooter called inSSIDer which let me look at both signals from the router and the expander and see what they were doing. eventually I got them placed to where I seem to have relatively equal signal strength from my basement to the upstairs of the new addition. More of less as I walk the paths but once I'm there it's not bad. I get excellent strength and connectivity so I'm not complaining yet.
My only remaining concern is if I should upgrade the firmware on my WRT54GS router or not.  it's at 2.071. which meets the minimum required to connect with the WTR54GS expander or so I read, but this router doesn't have the back up restore function on this version so I am not eager to have to completely set this thing back up again after an upgrade. Won't that reset everything back to defaults? Or does anybody here know if it saves my configurations? Somehow I doubt that it would but ya never know.

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