localghost wrote:The typesetting engine is not responsible for the problem with BibTeX. I answered correspondingly in the other thread.
You're absolutely right of course... it was a BibTex issue not a typesetting one.
That seems to solve this, thanks very much to you both cgnieder and Thorsten.
XeLaTeX (which natively works with UTF8) plus the fontspec package hits the nail right in the head.