In 1.4, I renamed the skills to more clearly differentiate their purviews. So instead of Physical, Communication, etc. You now have Athletics, Skulduggery, Knowledge and Interaction. I think that gets rid of some of the overlap between Physical and Subterfuge, and Subterfuge and Communication. If that's still not totally clear, I'd be happy to add more information about each one.

As a side benefit, Physical isn't going to be the best skill in the game anymore. I changed the saving throws so that they're now all level + attribute modifier instead of Physical + attribute modifier.

I've also added my rudimentary equipment list. It's only weapons, armour and shields right now. I reduced the types of weapons and armour, jacked up the damage of weapons and more sharply distinguished the damage resistance of armour.

What would people think of a morale system if I were to put one in the game?

Here's what I'm thinking:

At the end of every round, total up the damage taken that round by the monster or character. They have to make a d20 roll + level + MIND and beat the damage total or else panic and be forced to retreat.

I love morale mechanics. But if I understand your suggestion correctly, wouldn't that make low HD monsters likely to succeed the roll and eventually die?

I'd love a mechanic where, if you kill several small-time baddies, the rest of the horde is at risk of panicking and fleeing too! Maybe a cumulative damage count, or body count?

I'm doing some housekeeping on my various projects that I semi-abandoned in 2009 due to family stuff. Here's the long awaited Microlite Iron Heartbreakers 1.5! (Now with more grammatical errors!) The equipment list is now included in the main text of the game, and it's easier to die.