QUOTE(little timmy @ Jul 7 2008, 12:29 PM)

i am confused with how deadly reflex works i downloaded version 4.1 but it didnt really work i was confused maybe you could shed some light on how to get it to work?
cheers

As said, you first need OBSE (Oblivion Script Extender), found here:
http://obse.silverlock.org/Deadly Reflex doesn't work at all without. Be warned, with OBSE and Deadly Reflex will come a crash every now and again in battle, but Deadly Reflex works very well.
You don't see much of the effects of Deadly Reflex in the beginning. It's major effects are shown in skills that are Journeyman or higher. It makes the game gorier at that point, definitely, depending on what you do. The only thing Deadly Reflex does right off is let you set a "shield bash" button. Shield bash let's you push enemies or smack them with your shield to stagger or knock them down, which comes in handy.
When you're a Journeyman in a certain skill, Deadly Reflex will come strongly into play. You must use a power attack to get the effects, though. Here's a quick breakdown of some skills at Journeyman level and what is caused by Deadly Reflex:
Blade - You can slice enemies in half or behead them. With short swords and daggers, if you sneak up behind an enemy, you can slit their throat; this depends also on your ability to sneak, of course.
Blunt - Weapons with the name "axe" in their name will do the same things as blades. All other blunt weapons will crush skulls.
Marksman: Arrows can pierce lungs. I don't know if this necessarily relies on being a Journeyman of Marksman, though. You'll know if you've pierced an enemy's lung; they'll be covered in blood and fall over soon after taking a hit.
Destruction - Some of my favorite effects here, dependent on the magic element you use. Fire magic can leave charred remains, lightning can literally shock enemies out of their boots, also charring them, and ice can freeze an opponent solid, leaving you to shatter them with your next strike. Also, at a certain level of Destruction, Deadly Reflex gives a lesser power called "Combustive Convulsion" with very gory effects - used I believe once a day, it literally explodes most opponents. There are many opponents who will be able to resist this power, usually Dremora or enemies found in Oblivion or powerful quest enemies can resist it, along with certain monsters.
Anyway, that's all I know of what Deadly Reflex, someone let me know if I've missed something, if you're looking for gore that could easily satisfy you. I know you mentioned enemies specifically bleeding more, but if it interests you there is a mod that gets you bloody when you fight, both from taking damage and getting splashed with an opponent's blood, search "Bloody Mess."
EDIT --- Varus posted as I was typing this. He provided the link to A Bloody Mess, so refer to his post above for that.