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<output-dir>/
├── source-{slug}.{ext}    # Source files (text, images, etc.)
├── refs/                  # Reference images (if provided)
│   ├── ref-01-{slug}.{ext}
│   ├── ref-01-{slug}.md   # Description file (optional)
│   ├── ref-02-{slug}.{ext}
│   ├── ref-02-{slug}.md   # Description file (optional)
│   └── extracted-style.md # Verbally extracted style (if no file path)
├── prompts/cover.md       # Generation prompt
└── cover.png              # Output image

Cover Image Progress:
- [ ] Step 0: Check preferences (EXTEND.md) ⛔ BLOCKING
  - [ ] Found → load preferences → continue
  - [ ] Not found → run first-time setup → MUST complete before Step 1
- [ ] Step 1: Analyze content + determine output directory
  - [ ] 1.1 Reference images ⚠️ (if provided)
    - [ ] File path given → saved to refs/ ✓
    - [ ] No path → asked user OR extracted verbally
  - [ ] 1.2 Output directory determined
- [ ] Step 2: Confirm options (5 dimensions) ⚠️ REQUIRED unless --quick or all specified
- [ ] Step 3: Create prompt
  - [ ] References in prompt ONLY if files exist in refs/
  - [ ] Extracted style/palette appended to prompt body (if no file)
- [ ] Step 4: Generate image
  - [ ] 4.1 References verified before generation
  - [ ] 4.2 Pass refs via --ref if skill supports AND files exist
- [ ] Step 5: Completion report

Input → [Step 0: Preferences] ─┬─ Found → Continue
                               │
                               └─ Not found → First-Time Setup ⛔ BLOCKING
                                              │
                                              └─ Complete setup → Save EXTEND.md → Continue
                                                                                      │
        ┌───────────────────────────────────────────────────────────────────────────┘
        ↓
Analyze + Save Refs → [Output Dir ⚠️] → [Confirm: 5 Dimensions] → Prompt → Generate → Complete
                                                 ↓
                                        (skip if --quick or all specified)

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| Result | Action |
|--------|--------|
| Found | Read, parse, display preferences summary → Continue to Step 1 |
| Not found | ⛔ **BLOCKING**: Run first-time setup ONLY ([references/config/first-time-setup.md](references/config/first-time-setup.md)) → Complete and save EXTEND.md → Then continue to Step 1 |

**Preferences Summary** (when found):

**EXTEND.md Supports**: Watermark | Preferred type | Preferred palette | Preferred rendering | Preferred text | Preferred mood | Default aspect ratio | Default output directory | Quick mode | Custom palette definitions | Language preference

Schema: [references/config/preferences-schema.md](references/config/preferences-schema.md)

---
ref_id: NN
filename: ref-NN-{slug}.{ext}
usage: direct | style | palette
---
[User's description or auto-generated description]

Reference Images Saved:
- ref-01-{slug}.png ✓ (can use --ref)
- ref-02-{slug}.png ✓ (can use --ref)

Reference Style Extracted (no file):
- Colors: #E8756D coral, #7ECFC0 mint...
- Style: minimal flat vector, clean lines...
→ Will append to prompt text (not --ref)

---
type: cover
palette: warm
rendering: flat-vector
references:
  - ref_id: 01
    filename: refs/ref-01-podcast-thumbnail.jpg
    usage: style
---

Reference Processing:
- ref-01-brand.png: using as direct reference ✓
- ref-02-style.png: extracted palette ✓

Cover Generated!

Topic: [topic]
Type: [type] | Palette: [palette] | Rendering: [rendering]
Text: [text] | Mood: [mood] | Aspect: [ratio]
Title: [title text or "visual only"]
Language: [lang] | Watermark: [enabled/disabled]
References: [N images (direct/style/palette) or "extracted style" or "none"]
Location: [directory path]

Files:
✓ source-{slug}.{ext}
[✓ refs/ref-01-{slug}.{ext} ... (if references saved)]
[✓ refs/ref-01-{slug}.md ... (description files)]
[✓ refs/extracted-style.md (if style extracted verbally)]
✓ prompts/cover.md
✓ cover.png
[✓ cover-backup-{timestamp}.png (if regenerated)]