Actually, Samehada CAN break Kisame out of genjutsu. However, if Danzo decides to use KA on Naruto, then the three of them stomp Kisame into the ground.
Team 1 wins rapes even without KA at all. Onoki can make Danzo fly, and the two of them could easily evade Kisame's water dome...Then Onoki can use his flying rock golem to smash around Kisame in his water dome. Boss frogs are cut in half by Danzo's fuuton, which easily cut through rocks. Jinton is just too much for even Kisamehada to absorb. Onoki's super weighted boulder jutsu would pin down boss frogs and make them too heavy to move. Rasenshurikens could be dodged or deleted. Then there's the Baku which sucks up Naruto. Plus Danzo has ten lives...Restrict jinton and make it base Danzo with no sharingan/Hashi cells to make it a fair fight.