I started an Argonian char today and was swimming under water, and after a little while my health started dropping, and when i surfaced, he gasped for air. Is this a bug, or can't they breathe under water anymore? :sadvaultboy:
You can't stay under indefinitely, it's just much longer than Oblivion and there's no indication of how much longer you can stay under. (I haven't tried an Argonian, though, so I can't remark on that.)