Sidebar Issues (Widgets)

I am trying to edit a theme and the widgets are not working. In the admin panel it says “No Sidebars Defined” Though my sidebars look basically identical to the ones in the tutorial at – https://automattic.com/code/widgets/themes/ –

Can anyone help me out?

This is what the sidebar code is, and the theme I am trying to use is – https://www.am-fem.com/demo/

I am also using wordpress 2.5

<div id="sidebar">
		<ul>

<?php if ( function_exists('dynamic_sidebar') && dynamic_sidebar() ) : else : ?>

	<li id="search">
		<?php include(TEMPLATEPATH . '/searchform.php'); ?>
	</li>

	<li id="calendar"><h2><?php _e('Calendar'); ?></h2>
		<?php get_calendar(); ?>
	</li>

	<?php wp_list_pages('depth=3&title_li=<h2>Pages</h2>'); ?>

	<li><h2><?php _e('Categories'); ?></h2>
		<ul>
			<?php wp_list_cats('sort_column=name&optioncount=1&hierarchical=0'); ?>
		</ul>
	</li>

	<li><h2><?php _e('Archives'); ?></h2>
		<ul>
			<?php wp_get_archives('type=monthly'); ?>
		</ul>
	</li>

	<?php get_links_list(); ?>

	<li><h2><?php _e('Meta'); ?></h2>
		<ul>
			<?php wp_register(); ?>
			<li><?php wp_loginout(); ?></li>
			<?php wp_meta(); ?>
		</ul>
	</li>

<?php endif; ?> 

</ul>

	</div>