Extends - is used by a class for extending some features of another class, so that same method or fields can be reused. Basic example can be :
class Animal
{
private String name;
public void setName(String name)
{
this.name = name;
}
public int getLegs()
{
return 2;
}
}
class Elephant extends Animal
{
public int getLegs()
{
return 4;
}
}
Now, setter is reused and extends doesn't mandate it to be overriden, but as per requirement any method can be overriden also, as getter in our case.
Implements - A class can implement an interface. This helps in achieving abstraction. any method in interface needs to be implemented by any class that is implementing the interface. It is mandatory, until or unless class is abstract, in which case any other concrete class should implement the unimplemented methods.
So, a class can extends other class for reusing functionality, and a class can implement an interface to enforce some functionality that a class must provide by itself.
Now, why interface extends interface, I am also not sure, may be its because sub interface will extend the methods of super interface and it will enforce implementation of methods in super interface on class that is implementing the sub interface. As super interface does not enforce implementation on sub interface, so implements can not be used.
I hope I am clear.
implementskeyword?!