ok... i figured out "A" solution.
Go to https://appleid.apple.com/, choose "Manage your account", enter your old apple id email and password, then edit the verification email to a functional email address. This will send the email verification to your newly chosen apple id. PLEASE NOTE, this email address can NOT be a MobileMe (@me.com or @mac.com) email address OR an address already verified on an existing apple id (some folks added and secondary email address to their MobileMe apple id).
Here's where it gets even more confusing. You've now changed your apple id email. Problem is you need to reset the password you never created (lol). Go back to https://appleid.apple.com/, choose "Reset your password", then enter your newly changed apple id email address and follow the instructions.
Now, log into that email account and open the email to reset your password. Follow those instructions.
Now that you've changed your apple id email address, reset that password you are ready to finally verify your apple id. Open your email account and follow the instruction (link) to verify account. It will ask you for you (new) apple id email and (new) password.
Finally, now that everything is verified, you will now need to go into your iTunes, iPhone, iTouch and anything else associated with the old apple id email and update your log in info. You are now free to resume the services that worked just fine before the self-destruct button was pressed.
I love Apple as a whole but, wow... I feel like I'm at the beginning of MobileMe again.
Good luck and I hope this helps everyone!
ON A POSITIVE NOTE:
I appeared to loose nothing at this time through this process (i.e. music, apps, credits, etc.) except perhaps my cool. :-)