The program first makes a grid out of position variables, similar to the one in the second picture. This grid is then used to write the characters. For example nr 5 would be written
MOVL LP003
ARCON
MOVL LP001
MOVL LP007
MOVL LP008
MOVC LP008
MOVC LP012
MOVC LP014
MOVL LP014
MOVL LP013
ARCOF
All the characters are described in the program in such way. Selecting the needed character is done with JUMP and LABLE instructions.
To move from one character to next SFTON instruction is used to shift in the desired direction. This shifts the whole grid to a new position.
The text is taken from a string variable, LEN instruction is used to get the total number of characters in the text, MID$ instruction is used to but each character into it's own string variable.
The whole thing is written into a loop that runs as long as the character counter reaches the total number of characters.