Next, you need to cut some small shapes from these letters. Pick the Pen Tool(P) and create some paths like image #1. Select them along with the letters then click on the Divide button from the Pathfinder pallete. Create a new layer, name it “LETTER SHAPES” and move the shapes filled with white (from image #2) inside. Create another layer, name it “FOLDED SHAPES” and move the shapes filled with gray inside. Use the Reflect Tool(O) to move all the folded shapes as shown in image #3.