I have ToTSC and DSotSC installed, and I was wondering..
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>>Why did they replace the Ankheg Plate Mail found in Nashkel with a cape/robe that does seemingly nothing? I have the item equiped to my Thief, but it can get very distracting to the fact that you can't tell if your Hiding in Shadows or using the cape/robe. Does this item have any beneficial features?

Well, i cant tell you why have they removed it (maybe they considered it too good to get it that soon). the cloak isnt worth i think, maybe it raises your thief or ranger´s hide in shadows ability, but for any other character its pretty useful, wont make you invisible or anything.

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http://www.angelfire.com/anime2/memnoch/ertai2.gif "I miss the Angel... and I mean that I REALLY miss her" -Ertai, Captive of the Blinding Angel

You can always have the smithy in Beregost forge you some...