Chris asked me by e-mail if I was using Netscape - yes I am . Here is what I see is different:
Right now in the regular reply window in which I am typing, here in the section where you are supposed to type your reply, there are 2 frames. One says Your Reply... see forum rules etc. etc and then has the box with the smilies. The other frame has the scrolling text box for typing in the reply.
In the Edit Window, that second frame is missing. Your Reply, and the Smilies, are in the middle of the frame, in the middle of the page.
I tried this on my laptop using Netscape through AOL (Professional Version) and on At&T Worldnet using Netscape, as well as over the secure DSL line - all the same. I haven't tried on Linux or Solaris yet.