diff --git a/CMakeLists.txt b/CMakeLists.txt
index 150a10df..6731c276 100644
--- a/CMakeLists.txt
+++ b/CMakeLists.txt
@@ -80,7 +80,7 @@ if (WIN32)
 	set(Boost_USE_STATIC_LIBS      ON)
 	set(Boost_USE_MULTITHREADED      ON)
 	set(Boost_USE_STATIC_RUNTIME    OFF)
-	find_package(Boost COMPONENTS program_options date_time system filesystem regex thread signals REQUIRED)
+	find_package(Boost COMPONENTS program_options date_time system filesystem regex thread signals locale REQUIRED)
 else(WIN32)
 	LIST_CONTAINS(contains -lboost_program_options ${SWIFTEN_LIBRARY})
 	if(contains)
@@ -88,10 +88,10 @@ else(WIN32)
 		set(Boost_USE_MULTITHREADED 0)
 	endif(contains)
 	set(Boost_FIND_QUIETLY ON)
-	find_package(Boost COMPONENTS program_options date_time system filesystem regex thread-mt signals)
+	find_package(Boost COMPONENTS program_options date_time system filesystem regex thread-mt signals locale)
 	if (NOT Boost_FOUND)
 		set(Boost_FIND_QUIETLY OFF)
-		find_package(Boost COMPONENTS program_options date_time system filesystem regex thread signals REQUIRED)
+		find_package(Boost COMPONENTS program_options date_time system filesystem regex thread signals locale REQUIRED)
 	endif()
 endif(WIN32)
 
diff --git a/libtransport/RosterManager.cpp b/libtransport/RosterManager.cpp
index f143c5b6..1dea8c75 100644
--- a/libtransport/RosterManager.cpp
+++ b/libtransport/RosterManager.cpp
@@ -34,6 +34,7 @@
 #include <boost/foreach.hpp>
 #include <boost/make_shared.hpp>
 #include <boost/algorithm/string.hpp>
+#include <boost/locale.hpp>
 
 #include <map>
 #include <iterator>
@@ -46,6 +47,9 @@ RosterManager::RosterManager(User *user, Component *component){
 	m_rosterStorage = NULL;
 	m_user = user;
 	m_component = component;
+
+	boost::locale::generator gen;
+	std::locale::global(gen("en_GB.UTF8"));
 }
 
 RosterManager::~RosterManager() {
@@ -71,7 +75,7 @@ RosterManager::~RosterManager() {
 
 void RosterManager::removeBuddy(const std::string &_name) {
 	std::string name = _name;
-	boost::algorithm::to_lower(name);
+	name = boost::locale::to_lower(name);
 	Buddy *buddy = getBuddy(name);
 	if (!buddy) {
 		LOG4CXX_WARN(logger, m_user->getJID().toString() << ": Tried to remove unknown buddy " << name);
@@ -118,7 +122,7 @@ void RosterManager::handleBuddyChanged(Buddy *buddy) {
 
 void RosterManager::setBuddy(Buddy *buddy) {
 	std::string name = buddy->getName();
-	boost::algorithm::to_lower(name);
+	name = boost::locale::to_lower(name);
 	LOG4CXX_INFO(logger, "Associating buddy " << name << " with " << m_user->getJID().toString());
 	m_buddies[name] = buddy;
 	onBuddySet(buddy);
@@ -131,7 +135,7 @@ void RosterManager::setBuddy(Buddy *buddy) {
 
 void RosterManager::unsetBuddy(Buddy *buddy) {
 	std::string name = buddy->getName();
-	boost::algorithm::to_lower(name);
+	name = boost::locale::to_lower(name);
 	m_buddies.erase(name);
 	if (m_rosterStorage)
 		m_rosterStorage->removeBuddyFromQueue(buddy);
@@ -146,7 +150,7 @@ void RosterManager::storeBuddy(Buddy *buddy) {
 
 Buddy *RosterManager::getBuddy(const std::string &_name) {
 	std::string name = _name;
-	boost::algorithm::to_lower(name);
+	name = boost::locale::to_lower(name);
 	return m_buddies[name];
 }
 
@@ -349,7 +353,7 @@ void RosterManager::setStorageBackend(StorageBackend *storageBackend) {
 		if (buddy) {
 			LOG4CXX_INFO(logger, m_user->getJID().toString() << ": Adding cached buddy " << buddy->getName() << " fom database");
 			std::string name = buddy->getName();
-			boost::algorithm::to_lower(name);
+			name = boost::locale::to_lower(name);
 			m_buddies[name] = buddy;
 			onBuddySet(buddy);
 		}
diff --git a/tests/libtransport/rostermanager.cpp b/tests/libtransport/rostermanager.cpp
index ea0b5dea..aa6c25d6 100644
--- a/tests/libtransport/rostermanager.cpp
+++ b/tests/libtransport/rostermanager.cpp
@@ -15,6 +15,7 @@ using namespace Transport;
 class RosterManagerTest : public CPPUNIT_NS :: TestFixture, public BasicTest {
 	CPPUNIT_TEST_SUITE(RosterManagerTest);
 	CPPUNIT_TEST(setBuddy);
+	CPPUNIT_TEST(setBuddyUTF8);
 	CPPUNIT_TEST(setBuddyNoAlias);
 	CPPUNIT_TEST(sendCurrentPresences);
 	CPPUNIT_TEST(sendUnavailablePresences);
@@ -85,6 +86,25 @@ class RosterManagerTest : public CPPUNIT_NS :: TestFixture, public BasicTest {
 		CPPUNIT_ASSERT_EQUAL(std::string(""), item.getName());
 	}
 
+	void setBuddyUTF8() {
+		User *user = userManager->getUser("user@localhost");
+		CPPUNIT_ASSERT(user);
+
+		std::vector<std::string> grp;
+		grp.push_back("group1");
+		LocalBuddy *buddy = new LocalBuddy(user->getRosterManager(), -1, "Катя антонова", "", grp, BUDDY_JID_ESCAPING);
+		user->getRosterManager()->setBuddy(buddy);
+
+		CPPUNIT_ASSERT(user->getRosterManager()->getBuddy("катя антонова"));
+
+		Swift::RosterPayload::ref payload1 = getStanza(received[0])->getPayload<Swift::RosterPayload>();
+		CPPUNIT_ASSERT(payload1);
+		CPPUNIT_ASSERT_EQUAL(1, (int) payload1->getItems().size());
+		Swift::RosterItemPayload item = payload1->getItems()[0];
+		CPPUNIT_ASSERT_EQUAL(std::string("Катя антонова"), Buddy::JIDToLegacyName(item.getJID(), user));
+		CPPUNIT_ASSERT_EQUAL(std::string(""), item.getName());
+	}
+
 	void setBuddy() {
 		User *user = userManager->getUser("user@localhost");
 		add2Buddies();