Hi again.
You've created your ext3 partition...OK...you can actually do this during the installation process vs. having to do it then reboot...the critical point here is to instruct the LiveCD to install the GRUB bootloader for Ubuntu to your new ext3 partition...NOT to the default location as this will overwrite the Windows MBR...as Coolname007 clarified, Linux does not address/refer to drives by Windows style drive letters at all...it uses an entirely different naming scheme all together...you need to use the Advanced option I described above as the last step before starting the actual installation...you need to tell the LiveCD to install GRUB to the Linux partition...this easiest way to approach this, I think, is to note the Linux drive/partition designations/names a few steps before this during the partition configuration.
If your system has a single hard drive and only the two partitions you've described...Windows (C) and the ext3 you made for Ubuntu, your naming scheme will likely be as follows:
sda1=Windows 7 - 100MB "System Reserved"...this is a new tiny partition before the actual Windows OS partition...did not exist with XP/Vista...new W7 feature
sda2=Windows 7 - Your actual Windows C: drive containing the OS and software, etc.
sda3=the ext3 you made for Ubuntu...the so-called "root" Ubuntu partition - Mount point = "/"
If you carefully examine the partitioning configuration section (use the partition file system type and size to help you identify the Linux partition) in the LiveCD install routine BEFORE the user name/passord and final settings / Advanced button sections, you will be able to determine which partition is the new Ubuntu partition.
(By the way...I'd go with ext4 over ext3...it's perfectly stable and faster than ext3...also: one generally creates 3 partitions for an Ubuntu installation...the root "/" mount point to house the OS, the user data/profile partition ("/home" mount point) and a SWAP partition for virtual memory/page file ("/swap" mount point) - I'd make say a 15-20GB root partition in ext4, a decently-sized ext4 partition for your home partition...depends how much data you plan to store...and the swap partition...this is in the "SWAP" format, not ext2/3/4 - set this to one half or equal to your physical RAM...2 or 4GB should be fine for 32-bit systems).
On the last screen (after the user name/password config)...click on the Advanced button on the right and change the default GRUB bootloader install location to point to your Linux root partition ("/" mount point) - again, using the above example it would be "sda3". Confirm this change, then run the installation.
Reboot...you will go back into Windows 7 then...run EasyBCD as outlined above...backup your current BCD store first ("Manage Bootloader"..."Backup Settings")...then go to "Add/Remove Entries" and select the "Linux" tab...choose GRUB2 (for Ubuntu 9.10) under "Type"...change the suggested "Name" if you like, then under "Drive" select the to the SAME partition onto which you instructed the LiveCD to install the GRUB bootloader.
NOTE: You are back in a Windows environment now, so the Linux root partition will not appear as "sda3"...it will show as, for example, "Partition 2 (Linux native - 15GB)"...select the correct one.
Then place a check in the white box "GRUB isn't installed to the bootsector".
Verify your settings, press the "Add Entry" button...you can view your new BCD store listing under "View Settings"...reboot...you should now have a boot menu from which you can select the Windows 7 and Ubuntu systems!
(The other option is to let the LiveCD install GRUB to the drive root and overwrite the WIndows MBR...when you reboot, it will list Windows 7 as a bootable option in the Linux boot menu...worst case, you could then boot into Windows and use EasyBCD to recreate the Windows MBR to overtake the Linux GRUB if you get into a crisis...I would recommend keeping the Windows MBR dominant though and using the method described on these pages.)
The documentation site is still down...shame...it has a great walk-through with screenshots that makes it all quite simple.
Good luck!