Source: Warhammer Fantasy: 7th Edition

The Battle Standard
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Armies may include a special standard bearer carrying either the General's personal banner or the battle standard of the army itself. This battle standard bearer does not have to move along with the General but it is most useful when he is close by.

An army's battle standard is usually carried by a character model who cannot normally be the General model itself. The battle standard cannot be passed to another model if its bearer is slain.

If the battle standard bearer is slain or breaks and flees from combat (either on his own or as part of a unit), the battle standard is lost and may be captured as described later.

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Next - Combat Bonus