An AirPort Extreme that is running 7.6.9 (or 7.6.8, 7.6.7. 7.6.4, etc) is not officially supported with Time Machine by Apple, so that might be a large part of the problem. In effect, you are asking us how to fix something that Apple says you cannot do. Please take a look at this Apple Support document to confirm:
AirPort base stations: About USB disks - Apple Support
Time Machine support for USB disks
OS X Time Machine supports compatible unencrypted USB disks connected to AirPort Time Capsule (802.11n and 802.11ac), and AirPort Extreme (802.11ac).
Notice that only the current 802.11ac version of the AirPort Extreme is supported with Time Machine, although some users were sometimes able to make this work for a time with older versions of the AirPort Extreme. I never could make this work when I tried in the past.
In addition, the extra security that Apple has added in High Sierra (10.12.x) is causing a number of problems with Time Machine backups, even if the set up is supported. The bottom line.....Time Machine just does not work very well with network drives when the Mac is running High Sierra.
Backups would run a lot faster and a lot more reliably if you simply connect the USB drive directly to your Mac and back up that way.
So, not sure where to start with this one. Hopefully, you are not trying to back up over wireless to the AirPort Extreme / USB drive. Can you clarify on that?
If you are saying that backups were running OK before you updated to 7.6.9, then you might try rolling back the firmware to 7.6.8 to see if that helps, since 7.6.9 does add even more security than before.