Air Port Express - AirPlay yes, Internet No

My Airport Express "Satellite" unit will connect to my wireless network and play AirPlay music. But it will not extend the wi-fi network.

Here is my set-up

I have an Airport Express (AEx) 802.11n serving as my wireless network base station; it's connected by cable to my cable modem.

I have an older AEx 802.11g as a satellite at my TV, which I want to stream AirPlay music and to provide internet signal to my Blu-Ray player. This older AEx requires that I use the older version (5.6) of the Airport Utlity on my Mac.

I've rest the AEx 802.11g and configured it to extend my wi-fi network. After doing this, the AirPlay streaming works fine, but there is no internet signal.

To make sure that this was not a problem with the Blu-Ray player, I've tested by trying to use the AEx 802.11g to provide a wired ethernet siganl to my Mac. When I do this, the Systen Peferences Network pane shows the status of my wired ethernet as "Cable Unplugged."

I've tried changing the channel that the base station uses -- no improvement.

Can anyone suggest something for me to try. Thanks.