No, not the slipped st. Each `row' is actually going to be 2 rows. On row 1 you worked across all the sts, then turned, increased 1 (which made 2 sts) and pm, then knit across them all again decreasing on the last one. On row 2 you work to that marker, k1 and turn even though you still have 1 st left. When you come back to that marker again, k1 and turn again, leaving 2 sts. One the next row you'll have 3 sts. The slip stitch is at the other end of the row from the marker.
Don't try to figure it out in your head, just do it, and it's written very clearly so you should be able to figure it out with the yarn and needles in your hand.
sue- knitting heretic