1.04 is great for the following reasons (and keep in mind I haven't played a while because I got tired of the game, so my experience is all pre-patch).
1. Red special move is fine now, not being able to spin around.
2. Backstab fine too.
3. Absorb working perfectly now.
4. The saber physics seem to have been changed, I don't know, but saber sombat looks far better now.
There might still be a few things to fix, but I have a major problem with the game, something I have always hated about all FPS.
SHIELD, ARMOR and HEALTH KITS or whatever games call it. If two people have full shields the fight lasts way too long. Also people camping health kits and armor when fighting is just so lame.
A fight with 100 health and max 25 shield is perfect on the other hand. And if both participants fight like men and don't run away to pick up health it's great. Perhaps you can duel him, but what if he doesn't want to? Then killing him can become a pain... chasing him all over the map.
I would just like to see some servers with shields and health kits disabled.