Thanks. Ok you're splitting the stitches from the main piece to make the 'other' cover, and you do just what it says.
Knit 18 sts, then turn and purl back over the same stitches. Do this for 22 rows. Then cut the yarn, leaving about 10-12" or so, and pull the tail through the stitches on the needle like a drawstring. This closes them up like a little cap.
With the end of the yarn, beginning knitting over 27 sts, turn and purl back. Work in stockinette stitch for a total of 30-36 rows then cut the yarn and pull it through the sts again. Leave a longer tail, maybe 20-24"
And work on the last 22 sts the same as on the first. Use the tails to seam up the pieces.