+"He told me repeaters are necessary to extend the network, or a 2nd extreme with will make the 2 extremes dedicate one to "send" and one to "receive" which would extend. I think he makes sense.+
When you setup the Express to "extend" it performs a dual function. One, it receives the wireless signal that is being broadcasted by the main router and Two, it re-broadcasts or extends that signal to the area in which it is located. You could say it repeats as well if you want, but Apple does not use that terminology.
Perhaps your friend was thinking of another function of the Express...."Join". It receives in this mode, but does not extend or rebroadcast the wireless signal.
Your friend is confusing some terminology that other manufacturers use and, he may also be thinking about some older technology that was used in previous generation Apple products. You can be assured that the Express, when set to "extend a wireless network" is performing the exact function that you desire, namely it receives the signal from your base station and extends or broadens the wireless network that is created by your base station.
+Did you realize that I wasn't wiring the 2 extra expresses?"+
Absolutely. I use the same setup and know that it works through a number of tests.
You might want to refer your friend to the Designing AirPort Networks Guide so that he can come up to speed on things regarding the "extend a wireless network" function. Your Expresses are both receiving and sending, and they are doing it all without any wiring. Your current setup is doing exactly what you want.
http://manuals.info.apple.com/enUS/Apple_AirPort_NetworksEarly2009.pdf