I am having the same problem, though haven't yet tried making a static 
connection in KDE System Settings.
I made a report that turned out to be a duplicate. Though mine is with the 
Ralink RT2500 driver.

https://bugs.launchpad.net/bugs/110259

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Feisty Beta knetworkmanager hangs on activation stage when connecting to WAP
https://bugs.launchpad.net/bugs/96097
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Team, which is a bug contact for knetworkmanager in ubuntu.

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