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In this tutorial, Leon demonstrates how to create a modern professional cover letter template in Microsoft Word. He begins by adjusting the page format to A4 size under the Layout tab. Next, he inserts a horizontal rectangle for the contact information by navigating to the Insert tab and selecting the rectangular shape. Leon outlines the dimensions, setting the rectangle to 1cm in height and 21cm in width, ensuring it spans the page width. He centers the bar using the Align options and proceeds to change its color, emphasizing the design aspects to make a professional impression.