I solved my problem. Sort of.
What I ended up doing was to move the ASPNETAJAXExtensionsXX.zip files out of the ProjectTemplates and then copy the entire %Program Files%\Microsoft Visual Studio 8\Common7\IDE\ProjectTemplatesCache folder from a different computer with a fresh installation. I then copied my versions of the ASPNETAJAXExtensionsXX.zip into the appropriate personal folder (%My Files%\Visual Studio 2005\Templates\ProjectTemplates\xx).
My initial tries which included Uninstallation/Reinstallation on the same computer wasn't enough because this directory seems to remain more or less untouched and I didn't want to spend the time going through the install process again after figuring that out. For some reason regenerating the cache with the (undocumented?) devenv /installvstemplates switch didn't want to do the trick either.
What might have caused this wonderful excursion was the fact that the current AJAX installation manages to place the ASPNETAJAXExtensionsCS.zip not in the Web\CSharp\1033 subdirectory but in the Web root. I suspect the Developer Environment gets minorly grumpy with that choice. MS - You might want to sort that out.