And the answer is.... test all assumptions a 2nd or 3rd time....
When you remove the space bar there is the plastic cover, and the long wire which is shaped like a "U" with little serif's. The spacebar cover has a pair of guides in it - for attaching the wire.
On the keyboard base there is one switch, two pads, and two little knobs with holes and slots.
I had previously tried to insert the wire into the slots in the knobs and had failed... well this time it worked. That led me to:
1. Remount the spacebar with the wire mounted in the little sliders, bar towards you.
2. Jiggle keyboard until the wire is visible between the space bar cover and the edge of the keyboard.
3. Take a small flat blade screwdriver and gently place the tip into the elbow of the wire
4. Press the elbow at a 45 deg angle to the base, parallel to the space key cover until
5. The wire snaps into the holder. Turns out they are almost perfectly aligned (which is probably how they were assembled in the first place).
6. Repeat for the other side of the space key.
VIOLA!! You can now type your full 120-160 wpm again as your space bar functions across the entire width!!
YEAH!!
Next time I pull it I'll take pictures.