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I'm not shure if this is a bug or a feature, but the TinyMCE editor that is integrated with Joomla 1.1 converts all norwegian characters to entities.

This results in that the content written with tinymce is not utf-8 characters.

I did some testing, and added this line to the tinymce.php file, in the tineMCE.init statement:
entity_encoding : "raw",

This made the TinyMCE to edit utf-8 directly, and the content in the database was utf-8 characters, and not entities.

I'll guess that this will have impact on searching the database with the searchbot?

I confirm this.
Solution works.
Search works too.

Fixed on SVN.