Replaced mencoder.exe, works flawlessly, thank you very much.
I'm using cp1251 BTW. Absolutely no clue as of why 1.00 mencoder works and 1.02 and 1.03 don't.
Anyway, thanks for the quick solution
And still... is there any way to correct the timing of the subtitles in case they don't match the video? In the earlier versions it could be done via ffdshow, but now, as far as i can see, there is an internal subtitle engine. Am i missing something?