Yep, me and dimkaua are working on it.
No luck repacking Root.R.cpk file, but as said earlier, we can get story and NPC dialogues in english easily by file swap world*.cpk.
Items, skills, menus are probably stored in eboot (needs investigation), some quick-events "Tales of.." style are stored in RootR.cpk that can't be repacked by now (looking into it).
They have some strange things there, as some of the english texts are stored in "ja" folder and some of the japanese is stored in "en".
Oh, and about that semi-translated eboot, that I mentioned earlier, - it's actually a patch for the wii version (I was mistaken), but we can use it as well too!