to flare_cross: i'm pretty sure they would. lol.

maybe they just didn't want to make things complicated. also, with the graphics, they just want you to assume that he has a sheath. you can see him and cloud draw and sheath their weapons, but once they do it, they disappear.

u know what else you could ask? what happens to ur party?? when your walking around, you're only controlling cloud. say an event happens, you all of a sudden see your two other party members come OUT of cloud!!! oh my god what just happened! and uh oh, the event ended, so the characters decide to merge with cloud again! i wonder if it hurts, or if cloud feels uncomfortable...

lol sorry. i mocked you. i'll get serious now.

i'm pretty sure there was another thread that wasn't exactly BASED on this, but there was a discussion on it within the thread.
somebody (probably masamune1600) stated that it shows sephiroth when he sheaths his weapons at his side. just use ur imagination. you know, the sheath case thing doesn't have to be as long as the masamune.... it can just be like a collar that is enough to hold the masamune from falling off his side.