After a lot of playing with it, I was able to get the Network input to accept it's slave status ONLY by sending the program to the PLC, reading it back, switching from ladder mode to logic mode, making the change, then switching back to ladder mode and sending it back.
The siemens support guy knew as little about it as I did and was just as baffled.
I do not have any additional equipment (step 7, simatic, etc) just the software, 2 PLC's (master and a slave) and a stupid switch (hub). Oh, and a crossover cable between the pc and hub.
I'm guessing there's a reason that the slave assignment to the network input may only be made in logic block mode in the software, but have no idea why.