The second segment from the right is complete. I worked the Waffle Stitch with a single strand of DMC Perle Cotton and pulled the stitches to create the lacy effect. I then started the Diamond Pavillion stitch with the six strands of floss at the top of segment three.
Thanks for all the great comments on this piece and I will pass them on to my friend when she returns from her travels.
And, Otto is very pleased you all think he is wonderful.....even if DH still calls it a goat!