With version 0.8.6a everything was fine. The problem appeared with 0.8.6b. The system setting involved in this problem is the "Language for non-Unicode programs", which is a non-sense, as VLC IS an Unicode enabled program.
Because of this I am no longer able to use the updated Romanian language file (not yet published, I'm still working at it), becasue it uses the correct Romanian language characters U+0218 ... U+021B which are outside any ANSI (8 bit) codepage.
The problem can be put in evidence if I am switching the French language interface on my system which uses Romanian locale (including the "Language for non-Unicode programs" setting):
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And this is how my Romanian interface is now displayed:
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Cristi