Why didn't the ghost king rout?

[Chazar]

FrankTrollman said:
(...) However, a commander in a castle never runs away because of losing all the troops under his command. (...)

Does this imply that an SC will keep fighting if it commands a single limping blind armless archer sitting in the rear of the battlefield? Or does this merely say that the Moloch's personal imp horde is not a hindrance in the case of fighting castle stormers (since the auto-rout by loosing all troops will not occur)?