The Dark Age of Camelot Grab Bag was posted a few days ago, if you ended up missing it, here's some of the questions answered:
Q. I have a question concerning Armor Factor. According to an old patch note (Patch 1.79) Armor Factor does increase your blocking rate. Many people have been telling me it doesn’t help in blocking at all. Could you clear this matter up for us please?
A. After some searching for the 1.79 notes the Balancinator quotes: Item-based AF bonuses now actually increase your AF, block damage, and report as such on your character sheet. - From the 1.79 patch notes on 2005-09-13 13:19:27
I believe you are referring to this line in the 1.79 patch notes. The term "block damage" is confusing. It refers to your armor factor "blocking" or "reducing" the damage, you receive from being hit. Your armor factor does not help your block rate.