Thanks for the reply, I considered that. But the reason I don't believe that is the issue here is because I've edited the preferences file such that the game thinks I have 2GB of VRAM, which means it no longer checks when loading up (and therefore doesn't downgrade). That and the fact that everything else in ROTS looks just like it did or better (take the land graphics as an example) than it did in Shogun 2.
To me at this point looks like an error in the DLC which is forcing it to load the lowest graphics for water. Unless someone comes along in this thread or the one I started on the same topic at the TW tech\graphics forum and informs me they can run highest level graphics on water and it works, my guess is this is simply broken and needs to be fixed in the next patch.
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