There's just a few lines of random faction status related convo.
The Council has turned on Traven. Things couldn't possibly get any worse for the guild.
The Council of Mages has been dissolved. Arch-Mage Traven has been deserted. He's all we have left.
Without the Council of Mages to guide us, how will we stand up to the King of Worms?
Now I'm assuming this Councel of Mages is the Council of Archmagisters referred to in the Origins of the Mages Guild.
http://www.imperial-library.info/obbooks/origin_mages_guild.shtml
Though Oblivion treats the Arch-Mage as if there is only one.
Half of the Council of Mages resigned when Traven took over the position of Arch-Mage.
Some say that Traven is mis-using the power of the Arch-Mage's position to further his personal agendas.
Not only has Necromancy been banned from practice in the Mages Guild, but the Guild won't deal with anyone who openly uses it.
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Gets a bit tedious when the books and the game are contradicting each other. I can see how the elements of the book ended up in the game, but I don't understand why the book has not been adjusted to match the new situation.