The Seagate Crystal Reports wizard does not display localized Japanese characters correctly unless you have an installation from the Japanese distributor (Pasco). The OEM version of Crystal Reports that ships with ESRI's standard ArcGIS 8 package is the English version.
Though the characters are displayed incorrectly, the data written to the report is not affected. When you view the report with the report viewer or open it with a localized version of Crystal Reports, the data will display correctly.
The Crystal Reports wizard has been tested on other foreign-language Windows versions, and this problem has been found only on Japanese systems.