When you use Remote Desktop Connection to connect to a Windows 2000 terminal server and copy formatted text from the client and paste it into a Rich TextBox control on the Windows 2000 terminal server, the formatted text is inserted as a picture in the Rich TextBox control.

This behavior only occurs if the Remote Desktop client is version 5.1, included with Windows XP, or version 5.2, included with Windows Server 2003, because the TextRTF property of the Rich TextBox control assumes that the formatted text is binary data.

To workaround this behavior, either upgrade the terminal server computer to Windows Server 2003 OR use the Terminal Services client that is included with Windows 2000.