Warning: I've moved original info to 2nd post below making space for latest info.
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As of today we got "unofficially" patched King's Bounty: The Legend: install this patch over old version or do clean / full download / install.

Temporary workaround for savegame incompatibility after GOG patch (originally posted by Thiev here, not tested by me yet):
- download KBDB tool/editor from here here
- make a backup of your save file just in case
- open your .sav file as an archive (with 7-Zip ,etc.)
- extract saveinfo file
- run KBDB, decompile the file you just extracted, save as saveinfo.txt
- open it with Notepad, change the line: {session} = {base/} to {session} = {base}
- save the file, run KBDB again, compile edited .txt back to saveinfo (no extension)
- open .sav file again, overwrite the file with new one

Yet unanswered five questions to GOG:

1) Old buggy version vs new cracked version:
How has it happened / what has happened that GOG has had some weird numbered version at start? It had bigger build number than any other official one available... why? who is guilty here?

2) Usage of 3rd party cracked exe:
When we found these bugs - why has GOG used 3rd party's cracked exe instead of asking publisher directly to fix them? As I said, during my search for other infos, I've found out on Russian official forum that any cracks can cause some in-game quests to be impossible to finish / in other words, there are known cases that cracks have generated bugs. I would expect GOG to ask still existing publisher to fix, not using a crack like game pirates do.

3) Change of previous good files / faking build number:
In GOG official patch some perfectly good files were changed to some other versions - by perfectly good I mean two *.kfs and one *.txt file which exist in other builds v1.7(build 35234) (on Steam and GamersGate) and they had the same size - now this patch made them different - so we still do not have original v1.7(build 35234) just some faked version again?

4) Savegames reconstruction:
This cracked exe already made me cry because of this weird savegame incompatibility - as I can see, it is enough to delete only one ASCII character to make savegame work??? o.o Not even change the number of save?

5) Next versions compatibility:
KB is not really old game so there is still possibility for next patch - how I can be sure that these modified saves and whole game will be compatible with next version?

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Posted September 03, 2011
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Three notes at start:
1) I did check King's Bounty GOG forum but did not find a solution for my bug.
2) As I can see here GOG version can have some "specific bugs" so I do not know if my problem is only "mine" or it was "caused" by GOG.
3) Last week I did post my problem there but my topic did not get single answer so I am reposting it here as this bug seems to be really weird and caused me some problems.

Anyway, if you have GOG version of KB please do follow these steps below (If you have other version, like from Steam, you could check this also - months ago I did play Polish version of KB for some time and did not remember this kind of problem there...)

1) start as mage on impossible difficulty (update: it is confirmed that you can start any game - not only mage/impossible) and skip tutorial
2) in castle / temple / academy / etc buy 2 different units of types you do not have (for example: 1 bowman and 1 swordsman) to fill up two empty slots u do have
3) free one of the slots slot by putting one army in castle's garrison and buy another 1 unit of another different army (for example: 1 priest) to have all five slots filled again

Now this is the buggy part:

4) click on unit which was put in garrison - does it disappear or you've got a note "no space"?

For me it disappears because this clicked unit from garrison has gone to.... "invisible" (=not yet unlocked) reserve slot! o.o (when you unlock the slot later this unit will be sitting there!). I managed to discover that in my version because I could "disappear" TWO different units in this way - after that I am getting "not enough slots" info. And "TWO" is the same number as the number of reserve slots - these should stay unavailable till unlocked... :/

BTW: my KB shows this version number: 1.7b35396

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Posted September 04, 2011
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A small update:
1) I did full uninstall / clean reinstall of KB - no effect, bug is still here
2) this bug is not only on mage / impossible - it is still here on other classes / difficulty modes ...

/sigh

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Posted November 04, 2011
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GOG's King's Bounty: The Legend is version 1.7(35396) while original and official retail version () and versions from other digital distributors (Steam - [url=http://www.gog.com/en/forum/general/kings_bounty_gog_version_is_bugged/post13]source, and GamersGate - source) are numbered 1.7(35234). GOG's build number is suggesting that GOG has the newer version. I do not know what are the advantages but it has never found before some additional bugs.

So far I have discovered two buggy things in GOG.com version: it has bugged garrison/reserve option/skill and does not display properly damage numbers during battle - both bugs are confirmed by others GOG's users and support.

1) bugged garrison/reserve
To encounter this bug:
a) start the game and skip tutorial.
b) at start you have army of three troops (3/5) - buy two additional troops of types you do not have in army to fill up empty slots (to have 5/5).
c) free one of the slots by putting one troop in castle's garrison (to have 4/5) and buy another troop of another different army to have again all five slots filled (5/5)
d) NOW click on unit which was put in garrison and it disappears - in any other (not from GOG) version you will have info: "no space"

There is no fix so far: I managed to discover that this disappeared troop was put and hidden in (at start) locked reserve slot! You can do the same with second unit (as you have two reserve slots in game). Third try with third unit will get you "no space" info" at last. So - even if you have not reserve unlocked you can put something into there - the problem is how to get them out? Anyway it is clearly a serious bug and the only solution so far seems to be: avoid clicking on your troop in garrison while having 5/5 army.

2) bugged display of numbers during battle
When you start a battle and your unit deals some damage to enemy unit (or vice versa) over attacked unit will appear two numbers located at the same place on screen - one number is damage the other is number of units killed. Since they are located in the same place sometimes it is hard to read them.

Temporary fix was found: Edit game.ini file and in place of "showflyingdead=2" type "showflyingdead=1". From now it will now show only damage number.

Weird thing is: these both above bugs have some connection with next part of the game, King's Bounty: Armored Princes - you may ask "what? why?".

ad 1) In KB:AP both reserve slots are available from the start of game, you do not need to unlock them. Why GOG.com version of KB:TL "thinks" the same that you can put something in reserve at start without unlocking them first?

ad 2) KB:AP is the game when you starts with "showflyingdead=2" in game.ini. All no GOG KB:TL versions I know starts with "showflyingdead=1" in game ini.

All in all, it looks like someone has used patch for KB:AP on GOG.com's KB:TL... Weird, isn't it?

I have trouble believeing this bug is not in the retail version as well. The game isn't all that old. GOG can't have done any real work on it (and they wouldn't have the source code anyway). So I doubt very much that this is an issue with the GOG version.

1. retail version has not "showflyingdead" parameter set at 2 (see here for details) and this setting is causing troubles - for me is kind of proof that GOG version could be different from retail
2. as I said months ago (in 2010) I was playing Polish version of KB and I did not remember this problem...
3. I've asked one of my friends who has KB from Steam - he could not reproduce my bug

Just tried it, got the same bug. GOG version.

Not what I'd call a gamebreaking bug, easily avoided when you know about it, but hopefully it can get fixed.

Thank you very much for confirmation. Anyone else? Also if someone has non-GOG version, please check this too! :)Well, maybe not gamebreaking indeed but very annoying and misleading (only one click on unit in garrison is needed to move it to slot and any unit in hero's slot needs two clicks...). Also, yes, you really need to know what's going on to avoid it.

You've just reminded me of my support thread fail.;(
I can make a test on the GOG version, and probably ask a friend to make a test on the boxed version, though i don't know if he'll have time.

I'll be installing my GOG version in a moment, gotta make some space. My friend already did his check, i've posted the result on the thread. I'll edit in my result.
I'm just not sure if his version is up to date, he says he had 1.6.5 out of the box. Could be a more recent patch [if one exists] that causes this. Like my damage display thing.

I've asked my friend with Steam version about this damage thing and he has "0" in his ini (not 2 as in GOG version). So that overlapping bug was not caused by installing 1.7 update I think.

Both showflyingdead values of 0 and 2 on my Steam version don't cause the error when I follow those steps above.

Thanks! Do you have version 1.7? what build?

A little info for you: showflyingdead and these steps above (with garrison/reserve slots) are TWO different bugs :)

showflyingdead is for damage numbers during fight ;)
showflyingdead = 0 -> these numbers are damage
showflyingdead = 1 -> these numbers are kills
showflyingdead = 2 -> you should see damage AND number of kills at the same time

When "2" both numbers in GOG versions are displayed in the same part of screen / overlapping.

Oh okay, hah. Well then I don't get the bug, and never mind the other bit. :P

It is running Version 1.7 (build 35,234)

I was supposed to check that setting out, wasn't i?
Damn my lazy forgetting ass of a brain. I'll do it as soon as it downloads/installs.

Thanks again for confirmation :)
Yes, and when I set this to "0" it is all ok/readable now (just wondering how "2" works on the other versions of KB)