XML : Handling Special characters µ in xslt transformation

Here are the contents of my XML which I would like to transform.

   <P>          <L-1 L="EN">Resolution: 100µA/Bit (ZF interface resolution).          </L-1>      </P>    

I am not able to convert the text with special characters properly. I use the encoding as encoding="iso-8859-1". This works fine and the conversion happens in the development environment. But, when it is built as a product (IDE), this does not work. Any possible reasons, pls let me know.