Thanks though for your attention to the matter J. I do appreciate it.

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No need for "Thank You"s as this board it meant for help like this ;-)

Where should the 10 base-t hub reside?

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Let me describe it in words:

Powerbook < Ethernet cable > 10 MBit Hub ...

now it depends if there is a switch (10/100MBit autosensing) or just the router. If there is an additional switch (which I recommend!) it would follow up after the three dots like this:

... Switch Router

in all other cases (like no additional switch) it would be:

... router

Why the additional autosensing switch?

The switch should be able to part 10Mbit network parts from 100Mbit network parts,so the router won´t have to cut itself down.

...networking control panel I am greeted by something like 'you cannot select a network zone because no router is available.'

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This is no wonder and not Your fault. Within this context "router" does not stand for Your physically connected Airport Extreme router but for a dedicated (mostly software driven) "AppleTalk router" which provides "AppleTalk zones".

I´m firing up my PB145b now, I will see what I can do for You.

J