Problem with SQL_ASCII

I have a little problem in PostgreSQL 7.39 (and previous). Our database
is in 'SQL_ASCII'-Format. When doing SQL-Selects all special Characters
(e.g. äöüß, etc...) are ASCII encoded (sure they are). Is there any
function to change the encoding to - let's say - LATIN1 (reverse
function for to_ascii($text, 'LATIN1'))?
Otherwise, is it possible to write a function which just uses a
character replacement? I can image a select like:

Name in Table contains 'Ernst & Young AG', select is:

SELECT from_ascii(name, 'LATIN1') FROM table;

And output should be 'Ernst & Young AG'

We do this now in a second step with a find/replace tool...
Anyone any idea? Thanks and
*greets*
Kai...

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