Timezones values are stored in the registry. Here is for Auckland (set as default) :
CODE
REGEDIT4
[HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\Windows\CurrentVersion\Time Zones\New Zealand]
"Display"="(GMT+12:00) Auckland, Wellington"
"Dlt"="New Zealand Daylight Time"
"Std"="New Zealand Standard Time"
"MapID"="78,79"
"TZI"=hex:30,fd,ff,ff,00,00,00,00,c4,ff,ff,ff,00,00,03,00,00,00,03,00,02,00,00,\
00,00,00,00,00,00,00,0a,00,00,00,01,00,02,00,00,00,00,00,00,00
[HKEY_LOCAL_MACHINE\System\CurrentControlSet\Control\TimeZoneInformation]
"ActiveTimeBias"=hex(3):C4,FF,FF,FF
"StandardName"="GMT Standard Time"
"DaylightName"="GMT Daylight Time"
"Bias"=hex(3):00,00,00,00
"StandardStart"=hex(3):00,00,0A,00,00,00,05,00,02,00,00,00,00,00,00,00
"DaylightStart"=hex(3):00,00,03,00,00,00,05,00,01,00,00,00,00,00,00,00
"DaylightFlag"=hex(3):02,00,00,00
"DisableAutoDaylightTimeSet"=dword:00000001
I don't think SP2 has wiped those values off the registry but as it replaces the Date/Time Control Panel Applet there might be possibly a problem with it though I do not think so as I have just tried it on my ME system and it displays correctly the Timezones stored in the registry.
There is a GUI tool in the Windows 98 Resource Kit called Time Zone Editor with which you can edit or create time zones. It is called Tzedit.exe and should be on your 98SE CD. You can get it
here if you haven't got it.
Try merging the above registry file anyway and see if it helps.