[Typo3] Enable subcategories in tt_news 2.1.1

[Jerker (Eric) Helander]

Dear all,

I'm trying to enable subcategories for tt_news.

In the guides I've read they add a news item and when they choose category
there is a nice tree of categories and in the top of the tree there's a
globe called "News Category"

When _I_ try to choose a category for my news items I only see a boring list
of categories (please see the attachment) - no tree or hierarchy whatsoever.

When I try to create a new category I have no field called "Parent
category", meaning I cannot create a subcategory.

My news- items and categories are stored in a sysfolder called "Articles"
and that folder is also the General Page Storage...

I have added
plugin.tt_news {
  useSubCategories = 1
  displaySubCategories = 1
}
To _every single_ template I have and still it doesn't work.

Any ideas what I could be doing wrong?

Thanks in advance and kind regards

Jerker (Eric) Helander