Tactical battle turn 2: My level 10 champ, decked out in all plate armor, was killed, in one hit, by 5 warriors armed with 2-handed axes.
I eventually won that fight with good results... however, my army, upon return to the land map, was vaporized ( And I suddenly had a load of extra gildar per turn).
Morale is if leader dies army goes poof. Cannot be right.