Excellent idea, I too was missing original PM quoted.
But I did it much simpler (using your code, of course) template edit:
Find Private Message Templates->pm_quickreply.
Here find this code:
HTML Code:
<div class="editor_textbox quickreply">
<textarea name="message" id="{vb:raw editorid}_textarea" rows="10" cols="80" tabindex="1" dir="{vb:stylevar textdirection}"></textarea>
</div>
and make it to look like this:
HTML Code:
<div class="editor_textbox quickreply">
<textarea name="message" id="{vb:raw editorid}_textarea" rows="10" cols="80" tabindex="1" dir="{vb:stylevar textdirection}">{vb:raw newpost.message}</textarea>
</div>
Only difference is adding {vb:raw newpost.message} in appropriate position.

Of course, for many installing mod and not making template edit is easier to do.