While adventuring in the Anvil of Time, two years passed. The major changes that you learn from talking to people are as follows.

About three months after you guys disappeared; giants attacked Cormyr in overwhelming numbers. All forward outposts were destroyed, many cities were damaged, and the borders were closed. After the initial onslaught, the army and battle mages were able to drive back the giantish horde, and everyone thought that was that.

However, instead of employing the usual "smash and grab" that giants are noted for, the giants employed a pincer-like strategy to draw the bulk of Cormyr's army into a trap where it was virtually destroyed. It was in this defeat that King Azoun IV lost his life. The Archmage Vanderghast is MIA. In addition, many noble families decided to evacuate to Sembia and elsewhere by ship.

With the Heir only an infant, the King's niece has become Regent and is now in charge.

The Regent is a warrior who used to be an adventurer. That is probably why she turned to the adventuring parties working in Cormyr for aid. She has decreed that adventuring parties no longer need a charter, but those that actively work in the war effort (on the side of Cormyr) are promised titles and lands once the war is over. Also, a bounty of 1000GP is active for proof of a slain hill giant, 2000GP for a stone giant, 3000GP for a frost giant, and 5000GP for a fire giant.

With the adventuring companies aid, the giants have been forced back. Casualties are heavy, however.

The tactics of the giants have been nothing but brilliant. That and the fact that all the evil giant types are working together suggests that there is some unifying force behind the war.

Right now, northern Cormyr is giant-occupied territory. The city of Arabel is destroyed. Giants occupy Tilverton and the pass into the Dalelands is closed. Suzail and Marsember have suffered the least damage but are still beset by raids. Thunderstone is still free due to the large number of adventurers, but the Hullack forest nearby is full of enemies, there is no telling how long they can hold out.

Aid from the Dalelands is nonexistent due to the blockade. Sembia does not want to commit forces to aid its rival, and is waiting like a vulture to pick up the pieces.

The giants attacked Marsember early on, but were driven back by a united force of Purple Dragons, Harpers, and an army of undead raised by Detherin the Deadmaster. After the battle, Lord Idool announced he was, "Taking the fight to the enemy." He left with his two most trusted advisors and a score of his personal guard. Not long after, Lord Idool's personal guard were found dead and Idool and his two advisors are MIA. Bran Scorin is now acting Lord of Marsember.

The ports have been busy with many of the Noble families fleeing as well as some of the Merchant houses seeking shelter elsewhere until the end of the war.

There have been smaller, isolated raids on the city but they have been repulsed with minor casualties. The city is relatively empty now, with winter coming on and the war raging. Every other person one sees is a Purple Dragon or adventurer using Marsember's naval base as a base camp.

Right now, the war is a stalemate. However, things may change soon...