As always, thanks for the vigorous discussion, everybody.
... I'm hoping that by out of whack the general feeling (If I got the right vibe from the thread) is that you are just getting too much compared to orange and it's too much of certain things in particular...? I'll try to address everything:
The drops are supposed to be good - there are more heroes in DragonSoul than ever before and it should not be as painful as it has become to play with a lot of the heroes.
I think the mistake I made was that I didn't change the formula for the "Secondary Loot" (The right side of Pope's graphic).
I've redone it now to try to make it more even so it would either favor all items equally or when in doubt, lean towards component scraps. The exception is for that first mission - I split it so that each item has one secondary slot and then Mad God's Mug and Golden Slingshot each have another (slightly more heroes use those items).
The Sven's Sword of Doom is intentional. Thematically it should probably be at the end of Chapter 23... but I wanted to make sure it got in. I've left a note for the team to move it from 22-19 to 23-19 when that chapter launches. You can quote this post when people are confused / angry, but I hope / think it will make sense. I hope that the full item makes it worth the impact to other drop rates in the chapter, but if you don't feel that way I understand and we can take steps to change it.
TL;DR I have a change to the loot table which should distribute the chances more evenly between the loot for each node - I think it should still be readily available, it's just some items might scale back by 2 or 3 slots (Think Triassic Trinket) to make room for other items. If there are any concerns with this change, please, please, please air them - I don't want this to be "Gree nerfed the drop rate!" This is - Sven missed something and wants to make things balanced / fair but hopefully still less oppressive than Orange became.