Bizarre Server 2003 Install question!

Hi,

Had a new guy doing an install of Server 2003 for us and he asked a very
interesting question to which I had no answer...

How come during setup off a CD, when prompted for the computer name, no
matter what you put in, no matter if caps lock is on or not, the box also
shows the name as capital letters, but when you finish, the name under
computer properties is in lowercase??

I discovered that this appears to be because the registry entry NV Hostname
is set to lowercase, but everything else is upper?! Why is this, and does
SYSPREP do the same thing??!