Wireless Issues with Apple TV 2nd generation

I have a linksys wireless router using WPA2 wireless security.  I have 5 laptops, 2 printers, 3 iPhones, and 2 iTouch's connected to the wireless with no problem.  My apple TV (second generation) has wireless issues, it will sit and connect and disconnect then reconnect then disconnect back and forwarth over and over.  It is the only device on my network that has issues.
BTW,  I have an AppleTV 1st Generation that also has no issues.
Any suggestions would be appreciated.

Yes it is wireless and it is right next to my Playstation 3 that has netflix along with several internet games and is also wireless but has no problems.
NEW INFO
Upon further inspection.  It appears that my wireless is connected and I am logged into my itunes account but I only see 3 main categories at the top (Internet, Compouters, Settings) instead of (Movies, Tv Shows, Music, Computers, Internet, and settings).
I have confirmed that my photo Stream from my phone is working and updated.  However, No YouTube access so no internet.  However, I know I am getting to apple because if I enter an incorrect password it tells me and also it stores the username/password.
Not sure what to do.  I thought it was the wireless and still might hardwire the connection if I can but this is strange.  I have setup many ATV2 and have and ATV1 with no issues.
Thanks for your help!

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