I think that problem with Cloud Walk is mana cost... Increasing the base mana cost and implementing additional mana cost per tile (cost can raise linearly or exponentialy per tile) would be ok, i think....
So that is the problem with savegames? Good to know...
I think that you do not get the sword, at least i didnt see in sov inventory, so probably a bug. Regarding golems, when you defeat them, check the unit design screen weapon tab (check also armor tab, if i remember well you should get new armor equipment) and you will see some legendary equipment [e digicons]|-)[/e] Also if you have plenty of gold, you can buy these weapons in shop for your champions....