2008 Enterprise.. and yep.. added the Domain Admin first. I'm under the Administrator account.
Well dang.. thought i had it! i had changed my ip to dynamic to plug my ethernet into our LAN here at work (for internet access).. and decided to change that back to static IP and then plug into my little 4 node network hub. After rebooting, I tried to extend AD again.. this time, the log files show that it worked! I got the exact same output that you showed in your log... where you said,
"if everything went ok the log file will be pretty emtpy otherwise it may contain errors, in addition you should see another log file in c:\ called ExtADSch.log here is a copy of mine:-"
Hooray, I thought! But no new folders in AD still. strange.....