• The first "row" contains two small side by side windows. These contain the checkin comments for the active diff.
• The next row contains two larger side by side windows. Each of these is a "stacked diff" window, showing the changes from the common ancestor to the local (left window) or remote (right window) versions of the file. The active diff is the one with lines highlighted the width of the window. The darker highlighting with the leading "-" represents the lines in the ancestor and the lighter highlighting with the leading "+" represents the lines added by the local or remote version of the file.
• The merged file is shown at the bottom left.
• The smaller lower right window contains instructions for the active difference or conflict. There is also a status bar which contains information about which conflict you are on out of how many.

Each conflict that must be resolved by hand highlights the status bar in red. To select a line or block simply click in the upper left or upper right boxes on the line or block that should be in the merged file. So, in the example, you're going to keep the changes you made and complete the merge.

Click in the upper right window on the line with "jREAD" highlighted in orange. Press "u" to undo since you want the "Jread" changes. Click in the upper left window on the line with "Jread" highlighted in orange. Press the "]" key to go to the next conflict. Click in the upper left window on the line with "Jread" highlighted in orange. Press the "]" key. Repeat until all conflicts have been resolved. Type "s" to save.