The Announcement Options screen should look something like this:
Announcement Font – This allows you to select which font all announcement will use. Pick something that you find easy to read.
Standard Color – This allows you to change the color of all announcements in the game, with the exception of Flavor Text announcements. All combat text will be displayed in this color, so pick something that you like!
Flavor Color – This allows you to change the color of all announcements during combat that don't directly relate to damage or status. You can just set this to match the Standard coloring if you wish.
Announce Type – This allows you to change the way game announcements display. Dropping will cause announcements to fall from the top of the screen down to the bottom. Rising is the opposite of Dropping, announcements will rise up from the bottom of the screen and vanish off the top. Bulletins works like Dropping, except in combat. In combat, all text will appear in a small window in the upper left (L. Bulletin) or the upper right (R. Bulletin) corner of the screen.
Save As Default Options – This button will save the current options for use whenever the game is started.
Important Note: The Default Options are only for starting a new game. Options are saved into individual save game files. When you load a saved game, whatever the options settings were at the time the game was saved will be restored.
Back – This button will return you to the Main Options menu.