Interesting little thing just happened. I met a 6th level magic user in Valhingen Graveyard and he offered to join us. He was evil, it turns out, and in our next encounter with undead he fought on the other side. Nice trick on the part of the developers.
We waxed him quickly and took his Ring of Protection +2.
We also found a tomb of a former knight, and his ghost offered us his items. I have a Plate Mail +2 now, and that puts my three fighters with AC -1, AC 0, and AC -1. We're ready!