Index: lib/html2text.php
===================================================================
RCS file: /cvsroot/moodle/moodle/lib/html2text.php,v
retrieving revision 1.8.26.6
diff -u -r1.8.26.6 html2text.php
--- lib/html2text.php	22 May 2009 02:21:34 -0000	1.8.26.6
+++ lib/html2text.php	8 Jun 2009 10:39:45 -0000
@@ -471,7 +471,8 @@
         $text = preg_replace_callback($this->callback_search, array(&$this, '_preg_callback'), $text);
 
         // Replace known html entities
-        $text = utf8_encode(html_entity_decode($text));
+        // MDL-2794 :: html_entity_decode works in latin1
+        $text = utf8_encode(iconv("utf8", "iso-8859-1", html_entity_decode($text)));
 
         // Remove unknown/unhandled entities (this cannot be done in search-and-replace block)
         $text = preg_replace('/&[^&;]+;/i', '', $text); 
