Strange observation, if a font is loaded in a method free processing code,
the fonts are displayed correctly. If fonts are loaded within a draw
method, they look screwed. This happens with Processing: 0135Beta on Mac OS
X 10.4, fully patched to 10.4.11

Code example - bad looking font:

void setup() {
size(200, 100);
background(102);
}

void draw(){
PFont fontA = loadFont("Bauhaus93-32.vlw");
textFont(fontA, 32);
fill(0);
text("Bauhaus", 30, 60);
}


Code example - ok looking font:
size(200, 100);
background(102);

PFont fontA = loadFont("Bauhaus93-32.vlw");
textFont(fontA, 32);
fill(0);
text("Bauhaus", 30, 60);

edit]
screen shot of wrongly rendered font

that's because you're drawing the text over itself repeatedly, and the
background is not being cleared. so eventually the pixels on the outer edge
that have transparency are accumulating to make things look crappy.

also, *do not* use loadFont() inside draw(), it will slow down your sketch
considerably as it will reload the font on each frame.