Merth,
I'm just taking a crack in the dark, but the LoreFlag could possibly be to control augments. In Live, even if your item has two type2 slots, you are only allowed to use one of any name (Solid Coal of Prowess for example) -- even though the augment itself is not lore. You could have five of them on your person (one in Chest, Arms, Feet, Hands and Legs) but only a maximum of one per equip/item slot. Considering many had augments returned on their cursor after that patch, that may be related.
Also, if you augment a tradeable item, it becomes "no drop" flagged. That wouldn't be a database change to that item, so that must be hiding somewhere as well.
I guess we'll know more when we can PC some of this.
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