I don't have that model router, so I can't see exactly what you are describing. However, many (most) new routers made in the past 10 years or so have self releasing collets. Loosen the collet nut and unscrew it about 2 turns. It will get tight again. Now use the wrench to loosen it a second time. This second loosening pulls the collet free of the router shaft. It will then open and let you pull the router bit out.
To understand this better, take the router collet and nut completely out of the router and examine it, The nut and the collet are held together with a spring clip. This clip is what pulls the collet out of the router when you loosen the collet nut that second time. Some router collets and nuts are designed a bit different. They don't have the spring clip, just a groove around the collet that a shoulder on the hole of the nut snaps into. Both designs work basically the same.
Last edited by CharleyL; 01-13-2011 at 12:22 PM.