diff --git a/docs/dictionary.md b/docs/dictionary.md
index aea17008..00567eea 100644
--- a/docs/dictionary.md
+++ b/docs/dictionary.md
@@ -511,9 +511,9 @@ each language. The number fragments are given in the `*_list` file.
 Character substitutions can be specified by using a `.replace` section
 at the start of the `*_rules` file. Each line specified either one or
 two alphabetic characters to be replaced by another one or two
-alphabetic characters. This substitution is done to a word before it is
-translated using the spelling-to-phoneme rules. Only the lower-case
-version of the characters needs to be specified. e.g.
+alphabetic characters. This substitution is done to a word before word is searched
+in `*_list` or `*_listx` file and translated using the spelling-to-phoneme rules.
+Only the lower-case version of the characters needs to be specified. e.g.
 
 	.replace
 	   ô   ő   // (Hungarian) allow the use of o-circumflex instead of o-double-accute