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Sorry, I forgot to mention the testcase I am using. The 
test case that fails is the locale module itself, when 
running it as a standalone application that is.

To be more specific:
  File "d:\devtools\python21\lib\locale.py", line 384, in 
resetlocale
    _setlocale(category, _build_localename(getdefaultlocale
()))
locale.Error: locale setting not supported

And to clarify what input getdefaultlocale returns on my 
machine:

>>> locale.getdefaultlocale()
('no_NO', 'cp1252')

and:
>>> locale._build_localename(locale.getdefaultlocale())
'no_NO.cp1252'

By the way, is this bug fixed in python 2.2?