Work as for back to **. Dec at each end of next and alt rows until 54 (60, 66) sts rem. Work 13 (19, 19) rows.
Shape Neck: 1st Row: K 21 (23, 26), turn. Cont on these 21 (23, 26) sts, dec at neck edge in alt rows until 15 (17, 19) sts rem. Work 3 rows.
Shape Shoulder: Cast off 5 (6, 6) sts at beg of next row and foll alt row. Work 1 row. Cast off. Slip next 12 (14, 14) sts on to stitch holder and leave. Join yarn to rem sts and work other side to correspond.
Using 3.25 needles, cast on 61 sts. Work in patt as for back until work measures 13 (16, 19) cm from beg, ending with a purl row.
Shape Top: Keeping patt correct, cast off 2 sts at beg of next 2 rows.
Dec at each end of next and alt rows until 39 (35, 31) sts rem, then in every row until 21 sts rem. Cast off.
Join shoulder seams. With right side facing, using 2.75 needles, knit up 69 (73, 79) sts evenly around neck incl sts from stitch holders.
1st Row: Purl.
2nd Row: K1, * y fwd, k 2 tog, rep from * to end (eyelet row for ribbon).
3rd Row: Purl.
4th Row: Knit.
Rep rows 1 to 4 incl once, then 1st row once (noting that eyelet row will form picot edge). Cast off loosely.
With a slightly damp cloth and warm iron, press lightly. Join side and sleeve seams. Sew in sleeves. Fold neckband along second row of holes to form picot edges and sl-st in position. Sew underlap in position. Sew on buttons. Thread ribbon around neck, wrists and underarm leaving ends to tie. Press seams.