MySql command line cyrillic Iinsert result is corrupted

Question

Have putty connection.
Putty config :
window-->translation-->remote character set-->utf-8
Launch command line MySQL client.
Perform insert with cyrillic like:

CREATE TABLE `category` (
  `catName` varchar(40) NOT NULL DEFAULT '',
  PRIMARY KEY (`catName`)
) ENGINE=InnoDB DEFAULT CHARSET=utf8;

insert into category(catName) values ('абвгдйка');

The result is that corrupted cyrillic symbols inserted into DB.