diff --git a/ChangeLog b/ChangeLog
index aa3843db0..c64c63b48 100644
--- a/ChangeLog
+++ b/ChangeLog
@@ -1,3 +1,7 @@
+2011-12-25  Vladimir Serbinenko  <phcoder@gmail.com>
+
+	* grub-core/fs/affs.c (grub_affs_label): Interpret label as latin1.
+
 2011-12-25  Vladimir Serbinenko  <phcoder@gmail.com>
 
 	* grub-core/normal/menu.c (menu_init): Don't stop menu init at gfxterm.
diff --git a/grub-core/fs/affs.c b/grub-core/fs/affs.c
index 0ad5e6672..b551cfcdb 100644
--- a/grub-core/fs/affs.c
+++ b/grub-core/fs/affs.c
@@ -526,6 +526,7 @@ grub_affs_label (grub_device_t device, char **label)
   data = grub_affs_mount (disk);
   if (data)
     {
+      grub_size_t len;
       /* The rootblock maps quite well on a file header block, it's
 	 something we can use here.  */
       grub_disk_read (data->disk, grub_be_to_cpu32 (data->bblock.rootblock),
@@ -535,7 +536,10 @@ grub_affs_label (grub_device_t device, char **label)
       if (grub_errno)
 	return 0;
 
-      *label = grub_strndup ((char *) (file.name), file.namelen);
+      len = grub_min (file.namelen, sizeof (file.name));
+      *label = grub_malloc (len * GRUB_MAX_UTF8_PER_LATIN1 + 1);
+      if (*label)
+	*grub_latin1_to_utf8 ((grub_uint8_t *) *label, file.name, len) = '\0';
     }
   else
     *label = 0;