To left of an RTC component is ‘(4: backup before drop)’. What does this mean & why is it appearing ? Is this a backed up component before it was dropped (deleted) ?

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4 is the id of a baseline (1 being the id of the first baseline referring to an empty component)
‘Backup before drop’ is the name of the baseline given by the user having created said baseline.
You can change at any time that baseline and select another by clicking on the button ‘Replace with ‘ in your repository workspace.