diff --git a/lib/asciinema/asciicasts.ex b/lib/asciinema/asciicasts.ex
index 628e598..23977d6 100644
--- a/lib/asciinema/asciicasts.ex
+++ b/lib/asciinema/asciicasts.ex
@@ -1,6 +1,6 @@
 defmodule Asciinema.Asciicasts do
   import Ecto.Query, warn: false
-  alias Asciinema.{Repo, Asciicast, FileStore}
+  alias Asciinema.{Repo, Asciicast, FileStore, StringUtils}
   alias Asciinema.Asciicasts.PosterGenerator
 
   def get_asciicast!(id) when is_integer(id) do
@@ -128,7 +128,8 @@ defmodule Asciinema.Asciicasts do
 
   defp open_stream_files(stdout_timing_path, stdout_data_path) do
     {open_stream_file(stdout_timing_path),
-     open_stream_file(stdout_data_path)}
+     open_stream_file(stdout_data_path),
+     ""}
   end
 
   defp open_stream_file(path) do
@@ -146,13 +147,14 @@ defmodule Asciinema.Asciicasts do
     end
   end
 
-  defp generate_stream_elem({timing_file, data_file} = files) do
+  defp generate_stream_elem({timing_file, data_file, invalid_str} = files) do
     case IO.read(timing_file, :line) do
       line when is_binary(line) ->
         {delay, count} = parse_line(line)
-        case IO.read(data_file, count) do
+        case IO.binread(data_file, count) do
           text when is_binary(text) ->
-            {[{delay, text}], files}
+            {valid_str, invalid_str} = StringUtils.valid_part(invalid_str, text)
+            {[{delay, valid_str}], {timing_file, data_file, invalid_str}}
           otherwise ->
             {:error, otherwise}
         end
@@ -161,7 +163,7 @@ defmodule Asciinema.Asciicasts do
     end
   end
 
-  defp close_stream_files({timing_file, data_file}) do
+  defp close_stream_files({timing_file, data_file, _}) do
     File.close(timing_file)
     File.close(data_file)
   end
diff --git a/lib/asciinema/string_utils.ex b/lib/asciinema/string_utils.ex
new file mode 100644
index 0000000..a456c49
--- /dev/null
+++ b/lib/asciinema/string_utils.ex
@@ -0,0 +1,22 @@
+defmodule Asciinema.StringUtils do
+  def valid_part(invalid_str, str) do
+    case String.chunk(invalid_str <> str, :valid) do
+      [] ->
+        {"", ""}
+      chunks ->
+        str =
+          chunks
+          |> Enum.take(Enum.count(chunks) - 1)
+          |> Enum.filter(&String.valid?/1)
+          |> Enum.join
+
+        last = Enum.at(chunks, -1)
+
+        if String.valid?(last) do
+          {str <> last, ""}
+        else
+          {str, last}
+        end
+    end
+  end
+end
diff --git a/spec/fixtures/0.9.8/stdout-split b/spec/fixtures/0.9.8/stdout-split
new file mode 100644
index 0000000..29ee40a
Binary files /dev/null and b/spec/fixtures/0.9.8/stdout-split differ
diff --git a/spec/fixtures/0.9.8/stdout-split.time b/spec/fixtures/0.9.8/stdout-split.time
new file mode 100644
index 0000000..01c8c3e
Binary files /dev/null and b/spec/fixtures/0.9.8/stdout-split.time differ
diff --git a/test/asciinema/asciicasts_test.exs b/test/asciinema/asciicasts_test.exs
index 276557c..c2ff994 100644
--- a/test/asciinema/asciicasts_test.exs
+++ b/test/asciinema/asciicasts_test.exs
@@ -131,5 +131,12 @@ defmodule Asciinema.AsciicastsTest do
       assert :ok == Stream.run(stream)
       assert [{1.234567, "foobar"}, {0.123456, "baz"}] == Enum.take(stream, 2)
     end
+
+    test "with bzipped files (utf-8 sequence split between frames)" do
+      stream = Asciicasts.stdout_stream("spec/fixtures/0.9.8/stdout-split.time",
+                                        "spec/fixtures/0.9.8/stdout-split")
+      assert :ok == Stream.run(stream)
+      assert [{1.234567, "xxżó"}, {0.123456, "łć"}, {2.0, "xx"}] == Enum.take(stream, 3)
+    end
   end
 end
diff --git a/test/asciinema/string_utils_test.exs b/test/asciinema/string_utils_test.exs
new file mode 100644
index 0000000..7e45e66
--- /dev/null
+++ b/test/asciinema/string_utils_test.exs
@@ -0,0 +1,27 @@
+defmodule Asciinema.StringUtilsTest do
+  use ExUnit.Case
+
+  describe "valid_part/2" do
+    import Asciinema.StringUtils, only: [valid_part: 2]
+
+    test "no accumulator, valid string" do
+      assert valid_part("", "foo") == {"foo", ""}
+    end
+
+    test "no accumulator, partial utf-8 seq" do
+      assert valid_part("", <<0xc5>>) == {"", <<0xc5>>}
+    end
+
+    test "no accumulator, valid string + partial utf-8 seq at the end" do
+      assert valid_part("", "foo" <> <<0xc5>>) == {"foo", <<0xc5>>}
+    end
+
+    test "with accumulator, rest of utf-8 seq + valid string at the end" do
+      assert valid_part(<<0xc5>>, <<0x82>> <> "ćfoo") == {"łćfoo", ""}
+    end
+
+    test "with accumulator, mixed valid/invalid string + partial utf-8 seq at the end" do
+      assert valid_part(<<0xc5>>, "x" <> <<0xc5, 0xc5>> <> "y" <> <<0xc5>>) == {"xy", <<0xc5>>}
+    end
+  end
+end