Hi Kate,
This is a bug with BasicLTI and thanks for pointing it out.
What happens is that when defining a new external tool, a "raw" form of the tool's name is inserted in the DB. This form is later used in Moodle internally to recover the available tools. However, Moodle is kind of picky with special characters and spaces in the rawname field so we have to eliminate them.
As it stands now, the regular expresion we use for converting "name" to "rawname" is way too agressive (it eliminates anything not a-z or A-Z. This includes numbers, accented characters, symbols and spaces).
It is time we rethought that regular expresion for building the rawname. We will test and see exactly what Moodle does not like and we will have a patch out soon.
Thanks again,
Nikolas