Page Menu Bar doesn't show Latvian letters
 

I can't get Atahualpa to display Latvian letters in the "Home link in Page Menu Bar". I enter there "SĀKUMS", but after saving that instead of "SĀKUMS" there is "S?KUMS". Some encoding problem? All WP database is manually converted to utf-8, all texts show up in Latvian without problems, but blog's title in WP doesn't show Latvian letters and here in this theme the same - Home link in Page Menu Bar also doesn't show Latvian letters, but links to other pages with Latvian letters show properly.
The same in Search field - I want it to show "meklēt", but I get "mekl?t". Any solution?
Here's link so you can see it - http://www.cesis.adventisti.lv/

I don't think think this is a Atahualpa issue. I just tried adding SĀKUMS on a post and it put the ? mark in. then I tried it on my internal server and it worked fine in both places (a post and as the Home page name) This is most likely a translation issue from machine to machine