Initial Set-up of Apple TV

Just got the Apple TV. Im running the wireless connection through Airport Express. During the initial set-up as soon as I enter the password to access my network I get an error message from Apple TV that says "There is a problem connecting to the Network." I have the Airport Express right next to the Apple TV so its not a matter of range. Is there something in the Setting of my Mac that could be preventing access to the Network? Really frustrated - any body help?
thanks

had similar problem with my network - hidden ssid, wpa and very long hex password.
It seems hex passwords have to be entered without the $ sign preceding them, and letters are in lower-case.
This was really painful to have to figure out and I'd have like to have seen some details in the documentation or at least some way to edit a network password to make corrections - it's really painful to have to start afresh each time, especially without a keyboard.
Hope this helps others - I found out the hard way and almost returned the darn thing on account of this, but after this initial hurdle I'm highly impressed and delighted.

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