Some Snow Leopard users have suffered from AirPort problems since 10.6 was released. In this client update, which requires 10.6.2, Apple says it has fixed three major bugs. First, it repairs some systems that, when upgraded from Leopard to Snow Leopard, could not turn AirPort on or off. Second, the update eliminates what Apple calls an "occasional" problem when using Wake on Demand, where network access would be unavailable. (Wake on Demand, new in Snow Leopard, lets a computer connected to an AirPort Extreme or Time Capsule base station be woken over either Ethernet or Wi-Fi for network access to advertised Bonjour services.) Finally, this update restores the capability to create software base station (look in the Sharing preference pane) or computer-to-computer networks to some MacBook, MacBook Pro, and Mac mini systems that previously had trouble.
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If you want to upload an open file (e.g. in Photoshop or BBEdit) to a remote server via the Fetch FTP client, you can use drag-and drop without switching to the Finder. Just drag the small document icon in the window title bar to a Fetch window. If the icon won't drag, make sure the file is saved.
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As a workaround I use the drop box feature now.
Could you describe your failure in a bit more detail? Is the AirPort loosing commection? Is the AirPort staying connected, but the file transfer stalls out?
If the transfer is just stalling out, you can try this command to see if it helps:
sudo sysctl -w net.inet.tcp.delayed_ack=0
It still stinks when you're one of the few with problems.