Here's the changelog for version 0.701:

Fixed troop raise quest bug: (Opcode = 20060)
Fixed horse fetching bug: (Illegal lvalue in statement; Opcode 20033)
Fixed sending companions to four ways inn bug: (Opcode = 20100)
Fixed instant re-attacking after attack has been parried.
Removed items from the chest in Zendar tavern.
Merchants are stocked with higher quality items now.
Only ranged troops carry bolts and arrows now.
Damage and range of bows and crossbows is reduced by 25% under rain.
Ranged Troop accuracy is reduced by fog and darkness.
Horses run slower under rain and at night.
Removed Armor skill
You no longer need to fight the kidnapped girl in the kidnapped girl quest.
Fixed quest XP awards.
Game brings up a verification dialog if you attempt to retreat an arena fight.
Fixed amount of gold looted from parties.
Reduced ruggedness of battlefields a little bit.
Experience gain from training skill increases non-linearly again.
New hand armor: Mail mittens
A few other fixes and improvements.

Please note that your existing savegames will not be compatible with this new version (Including those created with 0.700)

You can download the upgrade patch here.