Pleat Troubles


Hi all, I'm working away on my Vogue dress, Pattern #2903, it's the vintage Vogue reproduction pattern of a 1957 pattern, please see my blog for pictures.  I've been basting the pleats down as I thought the pattern stated to do but now I'm concerned I'm making the pleats wrong.  I know a few of you around here have made this dress.  How did you interpret the instructions for the pleats?  I've been ironing on the lines like the pattern said and then basting the pleat to the actual skirt.  I'm sure this is not how it is supposed to be done.  I can't figure out how to really do them though.
The instructions state:  To make pleats, on outside, crease along lines of small circles.  Bring creases to lines of large circles; baste.  

Past these short instructions, there are no more references to the pleats until the very end when it is time to create the hem.  

NOTE:  If desired, rebaste and press pleats at lower edge, or leave unpressed.