Size bonus

In DDO, the size of a creature has several implications in combat:

Armor class: Smaller creatures are harder to hit than larger creatures. This is most notably visible in the Halfling Size Bonus - halflings gain +1 to their AC (1 per size category).

Attack bonus: Smaller creatures can apply more precision to their movements and gain bonus to attack rolls. Larger creatures receive a size penalty (1 per size category).

Larger creatures enjoy the benefit of extended reach.

Skills:
 * Smaller creatures can hide more easily than larger ones (4 bonus/penalty per size category).
 * Small creatures are also less intimidating than larger ones (4 bonus/penalty per size category).

Contrary to PnP, in DDO small races (halflings) do not use different (smaller) equipment with reduced weapon damage dice.