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What are CAD, coverage, SDE3, and VPF annotation?
CAD annotation, ArcInfo workstation coverage, SDE3, and VPF annotation are pre-ArcGIS annotation formats. ArcGIS supports the direct use of CAD, coverage, SDE3, and VPF annotation.
CAD/coverage/SDE3/VPF annotation is different from Geodatabase annotation, in a) storage and b) usage in ArcGIS. ArcMap can display CAD/coverage/SDE3/VPF annotation, but selecting individual elements or editing their positions cannot be done. For these tasks, use Workstation ArcInfo. Changing the appearance of CAD/coverage/SDE3/VPF annotation in ArcMap is done by using the Layer Properties dialog box. Converting CAD/coverage/SDE3/VPF annotation to geodatabase annotation can be done with the ArcMap Convert Coverage Annotation tool.
Create CAD annotation in a CAD package but create coverage annotation in ArcInfo Workstation. Also, at ArcGIS version 8.2 and later, use ArcCatalog to convert Geodatabase annotation to Coverage annotation.
Refer to the article below for more information about the options for storing text in ArcGIS.