I probably should have been a little more careful in my response Saber.
I am not a retranslation user, for one. I uncheck retranslation completely in menu overhaul. If you want the retranslation you should be able to get Canon items and names anyway, though. At least, that is how DLPB designed it. And I do think it works, because I've tested this issue thoroughly before. The Americanized option works too, i think.
Edit: Look below for instructions on copying MOD folder items from the DK folder (where MO isntaller puts them) to the Bootleg folder. This will probably fix the script.
If not that leaves me wondering if you actually uninstalled FF7 completely and deleted all of the files from your install directory before redoing bootleg. Leaving your previous install and doing bootleg on top of it is problematic. You seem like a tinkerer so I'm guessing you'll end up redoing bootleg 50 times before you're happy. Either learn the ff7 install image feature of bootleg, or use windows uninstaller to completely uninstall ff7music > ff7, then MANUALLY remove all of the files from the ff7 directory since the uninstaller will leave them. Then maybe even run
Ccleaner and do a registry cleanup. THEN reinstall ff7 to C:\games\FF7 and redo bootleg (PITA). I really like PitBrat's install image function. Assuming windows 7 and 8 people have UAC turned off completely I think all this stuff works pretty flawlessly.
The other issue of the fonts is an easy fix. When you install Menu Overhaul outside of bootleg you need to change the Mod directory in bootloader configuration. This is the same as changing it in the ff7_opengl.cfg file, which bootloader will edit for you. You also need to copy all of the files from the new directory DK which is located in your mods folder which is like C:\games\FF7\mods\DK\
to the original folder labeled Bootleg that is in the mods directory. Overwrite all the files.
This is one of those hobbies you kinda have to work on a while before this stuff becomes clear... Aali's driver is very sophisticated and complex.
Edit: There is a reall good feature of MO installer. You CAN install it over itself. You do not need to rebootleg to change MO settings, just rerun MO installer. It is possible I'm wrong and it isn't possible to get the Retranslation (which you probably don't want tbh, since you're after the original names and items I imagine some of the dialogue will bother you) without the Canon option. If this is truly what you find please report this and I'll retest it.