yay terrain!
I for one, am really glad to hear terrain will be important to combat.
This way, resourceful and savvy characters can take advantage of it in many ways.
For an example of an exciting fight using terrain, see this video:
http://www.youtube.com/watch?v=N2wEj2lvplY (ignore the changed music and the titles at the beggining and end)
00:31 - a few seconds into the battle, it becomes obvious that the kid will not be able to defeat the master one-on-one, so he:
00:34 - retreats towards a bridge to evade attacks (Total defense? Combat Expertise?)
00:48 - retreats again to some stairs to gain higher ground (bonuses to AC and Attacks, maybe?)
00:55 - master pushes kid against the wall, so now HE has terrain advantage
00:59 - kid uses a maneouver, pushing off the wall, and gets out of bad tactical position
01:02 - Immediately after, kid gets on top of wall to gain higher ground again
01:05 - Kid attempts disarm maneouver, aided by higher ground, but...
01:08 - ...disarm maneouver fails, triggering counter-attack from master that throws kid out of position
01:18 - Kid slashes at bamboo branches, creating a distraction and slowing down opponent
01:25 - Kid grabs bamboo, uses branches as cover for a couple of seconds
01:42 - Finally, Kid resorts to the oldest trick in the book (sand in opponents eye)
Before somebody blasts me for using an animated video for an example, please note:
1- This is _not_ anime, at least in the sense that its not a japanese show
2- All the attacks and maneouvers are based on real-life martial arts (Tai-chi and Wu-shu, to the best of my knowlege), and most of these maneouvers have equivalents on swashbuckling fiction (jump on tables, swing from chandeliers, overturn fruit cart, etc)