Ubuntu :: Network Connection Configuration 10.04?

I guess this should come under the title "why can't they leave well enough alone?" Today I had occasion to configure a couple of machines with static IP addresses for some testing. My 8.04 machine - no problem. Invoke network-admin, unlock (with sudo credentials), set the desired IP, netmask and gateway. It is good to go. On the 10.04 box I did the following:

Right clicked on the network icon in the notification area (nm-connection-editor) - I see Auto eth0 (last used, never). So what have I been using for connectivity since I installed 10.04???

I then select Auto eth0 and press [Edit]. Under the IPv4 Settings tab I change "Method" Manual and enter my settings. However, I cannot Apply the changes - the [Apply] button is grayed out. So I try the same thing via the menu System; Preferences; Network Connections - same problem the [Apply] button is grayed out. So then I create a desktop icon to "gksu nm-connection-editor". Now I can Apply my changes and perform my testing. Then it is time to set things back to DHCP. Should be simple.

I invoke "gksu nm-connection-editor" from my icon. Change Auto eth0 back to Method: Automatic (DHCP). Apply and the network icon appears to restart. But I have no Internet connectivity.

I can reach my router. I can reach my DSL modem. The connection to the Internet is still working on other PCs. In frustration I reboot the 10.04 box. I still cannot access the Internet. And the Auto eth0 interface shows never used.

I change Method: to Automatic (DHCP) Addresses only and enter my DNS servers for Opendns.org. Reboot and I am now able to connect to the Internet. Remove the DNS addresses and no connection. I did NOT have these specified in the network connection setup before changing to/from a static IP address.

While doing all this it seems that a new network connection "Wired network1" was created although it shows never used. I delete it, no change. I delete Auto eth0 and reboot. Now another new network connection "Auto Ethernet" appears and I can connect to the Internet without having the specify the DNS addresses in the network connections configuration. Interestingly this connection shows Last Used - now! Also after removing Auto eth0 and trying to Apply changes I am prompted for my password when I click the [Apply] button (starting the applet from the notifier icon, not my gksu launcher).