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In this video tutorial, the presenter explains how to remove a watermark in Microsoft Word. They illustrate the process using a document with a "Draft" watermark. Common watermarks include "Confidential," "Sample," "Urgent," and "Do Not Copy." After completing your work on a document, you may want to remove the watermark. The presenter advises against double-clicking the watermark, as it won't work. Instead, you should go to the "Design" tab, click on the "Watermark" dropdown arrow, and select "Remove Watermark" to successfully eliminate the watermark from your document.