So if I'm reading this right, you're at the point of making the bears . . . ahem . . . crotch!
So you knit 8 stitches (leg #2) and then bind off 2 (crotch area). (If you're not using circular needles, you might need to slip these first 8 stitches (for leg #2) to a stitch holder, scrap of yarn, or other needle cause you will ignore them for awhile.) Now your working yarn is ready to knit the next 8 stitches (leg #1). So knit those and then turn your work. Knit back and forth on these 8 stitches up to row 53, which is a decrease row. Then you bind off those stitches (leg #1 complete). Break your yarn and reattach to knit the 8 stitches on the holder (leg #2) per same directions.
Does that help?