GraphicsGale isn't too bad, but you have to find the right sizes for bitmap fonts if you want them correctly displayed

There is still much room for improvement in Grafx2.
I would mostly like an (optional) setting 'horizontal wrap at X pixels', wrapping entire words (cutting words is rarely useful). Very nice when you have to fit text in a 400px column.

And many fonts would benefit from a setting of horizontal and vertical margins (between characters and lines, respectively).
Negative vertical margins would be very useful for vector fonts especially, as they always have huge empty space between lines, some +/- buttons would let you squeeze the lines just as you need.