I received this game recently and last night played White Mountain twice and thoroughly enjoyed it both times even though the first was littered with my own errors!
In the 2nd game which was a very bloody affair a situation cropped up that I was not sure how to correctly resolve.
Liechtenstein had 1 unit left and had accumulated 2 dice, Hohenlohe had 2 units left. The Catholics had only 1 morale cube and the Bohemians had 5. Hohenlohe was unscreened and Liechtenstein attacked on his turn. I know I could have retired Liechtenstein and pushed up Tiefenbach but I chose not to!
Now both sides would lose all their units meaning the Catholics lose a cube going to zero but would in the same sequence take back 2 morale from the Bohemians due to Hohenlohe's star rating.
You're overlooking this rule under "Routing":
If friendly and enemy Formations Rout simultaneously, no Morale Cubes are given to either player, even if one of those Formations was marked with a star.
At this point, we would then proceed to the Bohemian's turn. Since it's now impossible for them to ever attack any Catholic Formations - being that they have no cards left themselves at all - the Bohemians would lose the game.