The IP address of 169.254.xxx.xxx is an address that the system
automatically puts in when it can not get an address from DHCP servers
This means that you are not connecting to your dhcp server for whatever
reason. It could be a security arrangement, it could be a wrong network
setting, etc...
Best thing to do is to delete the setup you have in your ppc, and re-install
all the network settings for the wireless.
Hope this helps
Abdel