So, you're doing the finish at the top edge where the collar is?
As I look at the picture, there's a little 'swell' in the middle that makes the collar higher there. So, what she is doing is having you add a few extra rows in that area yet keep all the remaining stitches on the needle so you can blend in those extra rows seamlessly.
[color=blue]P2, *K2, P2; rep from * to end
working rib as set, cont as follows:
next 2 rows Rib to last 86 sts, turn.
next 2 rows Rib to last 82 sts, turn
etc etc until you get to
next 2 rows Rib to last 64 sts, turn
next row, rib to end
work a futher 7 rows in rib[/color]
You are going to work your rib until the last 86 stitches in the rib, then turn and go back, every time less 4 stitches to 64. This should make the swell at the neckline. Then you'll do those extra rows over all the stitches on the needles.
I think. If this is wrong, I apologize!