Hmm, that's an odd way of handling the audio. Looks like they left most of the audio track alone, except dubbing completely over the sound during most of the speech, with the main exception being songs, where the narrator speaks the translation right on top of the original sound.
And is that other animal supposed to be a red panda or some sort of fox? My suspicion would be red panda.
The skipping in the sound (even in the middle of narration!) and the speckles and lines all over the picture aren't too great, but at least it's in color...
Edit: Finished watching it. Noticed that they completely neglected to translate anything during the battle scenes. According to the credits, the original version was by "Toei Motion Picture Company" (hmm, sounds familiar...), and was then (translated? something) by "Data International", and (not mentioned until after the credits finish) the DVD is by Digiview Productions (They advertise a load of other Digiview stuff after the credits, too.)