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In this video tutorial, Phil demonstrates how to clean up text strings by extracting letters (both uppercase and lowercase) and numbers, along with removing various characters. He utilizes the text.remove and text.select functions in Power Query, applicable in both Excel and Power BI. Starting with a table of random text strings in Excel, he guides viewers to open Power Query by clicking on the table data and renaming the query to "text_select." To extract lowercase letters, he creates a new custom column titled "lowercase," using the formula text.select with the target column name and a specified list of characters to be extracted.