Hi David,
By "couldn't create", it means the [pyext] object fails to start, and has a dashed border around it - pd doesn't recognize the name.
A search of my directory tree couldn't find any files called pyext.*, so not only are they not in the correct path, they don't exist at all on my machine. However, there is a py.dll binary in pd/extra/, and pd sees it just fine. Could it be that pyext.dll failed to compile from the CVS sources?
pyext is an object within the py library (which contains the py, pyext and pym objects). You have to load it by including it into the PD startup items (startup menu). Just add py there (in former times, this was the "-lib py" startup option). In your previous message, you obviously tried to use py before pyext, which resulted in loading of the library (because of the similar name).
As far as "doesn't work correctly," when I use an example patch with [py], changing the input to the [py] object doesn't have any effect on the output. Quite simply, it does nothing - it doesn't work.
I'd be very surprised about that. When you add the py/scripts folder to the PD path, open the script-1.pd example patch, and then click onto [list H e l l o(, what is output on the console?
best greetings, Thomas