Try running vim in a UTF-8 locale. 

  $ LANG=en_US.UTF-8 vim

Also, see ":help termencoding".

Noah

On Mon, Aug 18, 2003 at 17:50:42 +0200, Stefan Persson wrote:
> Hi!
> 
> I am using Vi (version Vi IMproved 6.1) on Linux using UTF-8 (xterm 
> -u8).  If a UTF-8 characters does, when misinterpreted as Latin-1, 
> contain a control character, that character is displayed as something 
> different.  For example, the Swedish capital "Ä" is displayed as a 
> square box followed by '~D'.  Is there a way to get rid of this problem?
> 
> Stefan
> 

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