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I went through your mesh in TSRW and MilkShape, and found 3 areas that need some attention. The first thing that needed to be done was assign the bones. Doing that brought the mesh in line with the rest of the body. The second thing that needs to be worked out are the normals. They're what's causing the light and dark areas on your mesh. When I looked closer, there's another nearly complete hoodie on the inside. If you look at the pic, the piece on the right was pulled from inside your mesh. Once that was done the normals looked much better after realignment. If you remove the rest of the inner faces you'll have much better luck with getting it to look right and REALLY reduce the poly count. Those inner faces serve no purpose on this mesh. The last thing you need to do is fix the neck. It got scaled down quite a bit from the EA standard. The last pic shows the top row of polys from a default EA top, and that's where the neck needs to be in order to match up with the head properly. Replace the neck with something copied from an EA outfit.
I hope this gets you on the right track. I don't work with Blender so I can't recommend how to proceed. Getting rid of those inner faces can be a pain in the Keester in MilkShape -- I hope you know a simpler way to do it than I do!