How to add sleeves to a poncho

I have a question about how to add on the sleeves to this poncho? I have attached the the pattern for the sleeves and and pictures. Should I add them on the bottom of the poncho? Drops patterns are kind of difficult to understand.

Sleeves
"Worked in the round. Sew the garter st at the bottom of back and front piece tog with a couple of sts each side (sleeve edge now has a circumference of approx 24-26-30 cm / 9½"-10 1/4"-11 3/4"). Pick up 44-48-52 sts round sleeve edge on double pointed needles size 4 mm / US 6 with 2 strands Alpaca. P 1 round and continue in rib, K2/P2, on all sts. When rib measures 12 cm / 4¾’’ bind off with K over K and P over P"

I am doing “Drops Knitting Poncho” pattern number 123-28. I have attached pictures of the poncho and a picture of the construction of the poncho drawn out.

When you were knitting the front and back there was an area above the garter stitch where you increased at each edge:
"Continue in stockinette st, AT THE SAME TIME [U]cast on 2 new sts at the end of the next 2 rows for sleeve edges. Repeat the inc at the end of every row a total of 9-10-11 times each side (= 18-20-22 inc sts for sleeve edge each side). [/U]"
This is the area where the sleeves will be added. After you sew the garter stitch edges together and the side seams, you’ll leave an opening which is where you pick up sts around for the sleeves.

oh I like that poncho! definitely post pics when you get done!