What they're saying is that the first two bytes (first two eight bit segments) tell you the width and height of the pattern.
In the example given, you'll notice that the first 16 digits are 00000100 00000100. If you convert those to decimal, you'll see that those are both equal to four.
If instead the second block of eight bits was 00000111, the image height would then be seven.
The report is a piece of critical information in the company's file system that should be saved and secure from adversaries. All the options should be implemented to prevent and manage data leakage.