And several minor tweaks as well 
Battle Changes:
the most important changes is in the EDU, units are now balanced with 2 HP basis, and there shall be no longer "archer hatred". Several important things in the EDU is:
1) Generally more men per unit, more or less lore accurate, men aren't too few compared with orcs and uruks per unit (but they took more time for training), Elves and dwarves are considerably less numerous compared with men, but they are compensated by having 3 HP basis instead of 2 (of course, it's far harder to kill well trained elves or tough dwarves than men), the idea is 2 compared with 3 means the change in battles is less subtle compared with 1 and 2.
2) Missile units are now having better numbers, but less murderous attacks. That means, missile volley no longer cause mass killings, but they will still make noticeable difference. They will soften enemy units, not outright killing it. The final killing blows will be dealt in melee. The trade off is archers now coming in more or less the same numbers with normal infantry of their level. Of course, if you play with Mordor or Isengard (or wish to be evil), you can now really use a unit to "soak up" missiles if you play your card right. Not that easy though, but it's quite noticeable.
3) Using some special attributes to differentiate spearmen and the rest, using light_spear, so they'll now can really withstand cavalry charges. In the other hand, cavalry numbers are not as few as before (still approximately half and a bit more compared with similar level infantry), and they aren't as weak as before (Rohirrim now can really use pure cavalry army if you play your cards right.
4) Tweak the defense and armour system, unit shield and missile value is much more depending on what they wear. Armour is generally increased a bit while the shield values are lessened. The missile damage tweaked in corespondence so the AI will still use missile troops effectively (foot missile bug will no longer occurs). Total attack and defense values are both increased significantly, making unit armour and weaponary upgrade now having marginal effects instead of huge effects.
5) Tweaked the morale system, unit morale are no longer sky-high, but battles generally last longer with flanking and ambushes being more effective. Militia units no longer fight to the death
, regular soldiers will put up some good fight, but still routable under some circumstances. Elites, however, will keep fighting to certain extent, but not forever (certain elites are exceptions)
6) Trolls, Mumaks, and Berserkers will be really feared on the battlefield 
7) Unit recruitments tweaked for the campaign, men generally 1 turn recruit (infantry or cavalry, depending on their particular faction in question), Uruks and Orcs is 0 turn.
8) Save certain farmers, villagers, snagas, and slaves, there will be no "useless units" on the battlefield. Unit cost are now for what they will provide. More expensive units means they are better than their cheaper counterparts.
9) Fellowship units are delibrately made stronger, with cheap upkeep, as evil factions, you can't merely swamp them out with hordes of orcs.
Campaign Changes:
1) Giving each faction a certain low level unit as anti loyalist revolt-CTD measures, trainable from the core gov't buildings without any prerequisites. Of course, those unit in questions got their recruitment times somewhat longer.
2) Change the way recruitment buildings and foundry works. Generally, faction recruitments aren't much limited, but the infrastructure buildings and costs now takes longer and more expensive.
3) Most subtle changes are for Isengard recruitments, Saruman now starts with Dunlendings on his command (save some raiding party), they even start with 2 men as generals. But later on, they'll use uruks as their backbone.
4) Mercenary units are much more available. But considerably expensive for certain factions that supposed to not relying on them much (mercs sold their services more expensive with the elves compared to men)
5) Delibrately "screw" the diplomacy (so that's why I make the name "chaos"), no diplomats will be killed! Alliances are no longer blinded, and Elves can ally with Mordor and beating up Gondor!
Of course, that if you pay less attentions to your ally's life. If you play nice and having a goodwill towards your friends, especially in "good" factions, there should be no problems.
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some new units to both balance out factions, and having some fun with Dunlendings, mostly 
Dunlending Bodyguard (well, they can plunder armour for their rank and file, why not their personal guards have it?)
Dunlending Pikemen (Saruman trains them advanced ways of war), they are primarily Saruman's elite regiments of pike, but Dunlendings can have them as well.
Guards of the Orthanc : Gondorian origin, but intermingled with Dunlendings, and now Saruman use them as the elite guards of the Orthanc. These men also makes up his personal guards now (Saruman no longer become one man unit)
Dunlending Horsemen : well, if Dunlendings manage to capture Rohan settlements, these men will be available (the Rohirrim Turncoats)
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the file:
http://www.twcenter.net/forums/attac...1&d=1304039526
(in this attachment)
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Credits:
Om Wlesmana for creating this awesome mod 
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if you find this submod awesome, feel free to rep me
, but if you found the new units are weird and not feels right, feel free to throw a brick for Strategos Lykos (the one who make the new units) 
Cheers
Rahwana