When making cuts to regions on an alternate playlist while playing back the main or alternate playlist, the audio drops out similar to how it sounds when adding an insert.
You're recording guitars by yourself.. you know it's going to take you a few goes. So with this feature you can set up a looping section (with enough time for fiddling/tuning/whatever) and once the allotted loop has recorded through. it starts again so you get another shot. and automatically playlists the previous record.