EDIT: Don't double post.
No, it does not have english subtitles for the movies. This statement needs to go in the first post, because it's been repeated a lot of times, and I'm sure the others here are tired of sounding like a cracked record...
Why no english subs? We can decode the Nintendo format used to play the video, but since it's a special format that will take time to reverse engineer, we can't encode to that format as of yet. If you want English subbed cutscenes, YouTube has truckloads of them. Go watch them.
As soon as the movie format can be freely decoded/encoded, I'm sure we'll see people modding the cutscenes. Until then, just chill and enjoy the japanese pure voice acting, rather than it getting replaced for a dub that really breaks the mood.
EDIT 2:
Wrong. I have a copy of the Nohr version, and it works fine. You're likely patching it wrong, or the ROMFS Decrypter/Dumper you're using is not respecting the UTF-8 filenames (ie. the Kanji in some of the folders get mangled to #### characters).