Ok: it turns out that the Subaru dealer only cut the wires on the driver's side. So, I took care of the passenger's side wires. (thanks Aredubjay: it was straightforward!)

Got a new battery....

Replaced the Clock fuse (seems to be the weak link in the fuse box: probably on purpose)...

And viola: it almost all worked! Except for the fog lights.
So now, I noticed that the wire marked 1.5 Fusible Link (Grey) is broken, and barely connected. I removed it, and without it, the car won't work! I am hoping that if I replace this 'fusible link,' all will be better. OF course I can always just put the two ends together, but that can have disasterous effects: fuses are meant to be blown to save other sensitive components in the car.

Oh: and I couldn't program the dang FOB: is the beeping noise when I'm pressing the FOB button supposed to be "beep" or "beep-beep-beep-beep" (4 beeps real fast). I don't think it's supposed to be 4 beeps, which is what I'm experiencing. But I was able to get into program mode no problem.

So again, thanks for your help. Although it has been a little frustrating, I do enjoy troubleshooting, and much prefer electrical problems over engine and tranny issues. (BTW: I've got that 'tranny-starting-to-go-feelin' )

Will let you know if all this works....
-Z.