This 'from window' unwrapping method gives a matching UV layout to the mesh, which I scaled to fit the blade image. This was possible because I used the same image as a modelling blueprint for the blade.
I used the same method for the hilt, although I had to re-map the vertical faces separately.
Using side view, I used the 'from window' unwrapping again with just the vertical faces selected and adjusted the UV co-ordinates to remove any stretching.
UV Mapping the handle and blade
Blender's material system works similarly to 3DSMax's, in the same way you can have many textures with different blending and assignable options, layered inside one material.
All the materials use the UV co-ordinates for mapping the textures correctly, except for the procedural textures which use spherical mapping.
The handle material is a cream Oren-Nayar diffuse shader and a Blinn specular shader. The material has four texture layers, using a single cloud procedural texture for 50% colour blend to the base diffuse colour and three image textures from the Total Textures V14 cd. (weapons3.jpg & weapons3b.jpg x2).
The first image texture is the colour map, assigned to 90% colour blend to the base diffuse colour and 100% specular colour.
The second and third image textures are copies of the matching bump map, with one assigned to 10% displacement and the other assigned to 5% normal bump mapping.
The blade material is a grey Lambert diffuse shader and a Blinn specular shader, using an image colour map and the matching bump map from the Total Textures V14 cd. (weapons14.jpg & weapons14b.jpg)
The first image is a colour map with a 50% colour blend to the base diffuse colour.
The second image is the matching bump image assigned to 7% normal bump mapping and 100% colour using 'darken' texture blending. The second image also works as a mask (stencil). The blade material also has 50% raytraced reflections with a 25% fresnel setting.
The gold hilt material is procedural based, with a Lambert diffuse shader and a Cook Torr specular shader. It has, 17% raytraced reflections and 45% fresnel, using a black procedural cloud texture mapped to affect reflection and 5% normal bump mapping. The cloud texture uses spherical reflection mapping co-ordinates.