Hello there. I am a long time apple guy but new to these forums, and I am sorry to have to tell you that an orange ibook will not run adobe, OS X.3+, or any of the iLife stuff without at least $200 upgrades. You are stuck with a 300Mhz Processor (not upgradeable), pretty low RAM (semi-upgradeable if you have the cash), and no airport unless you can slam down more cash on that outdated part. Unless you want a beautiful orange paper-weight hangin around, just sell it on ebay (you could get between $80-100 for it).
If you want to be charitable, my brother could use one of those for parts. (he is trying to build one). No pressure though, but it's what do I have to lose in asking?