Parboxes placed horizontally will have their reference points
aligned. For [c] (the default) the reference point is at the
vertical center. For [t] it is at the baseline of the top line
and for [b] it is at the baseline of the bottom line. (Note that if
there is only one line [t] and [b] produce the same reference point.)
Thus these boxes would normally align the bottom of the first
with the base of the first line of the second.
This is complicated by the fact that any \vspace at the
top causes the reference point for [t] to be at the very top.
Similarly a \vspace at the bottom puts the reference point at
the very bottom fo [b].
Add to that the fact that newlfm adds a vspace at the bottom
and fancyhdr wraps the whole thing in another layer of
\parbox[b] and my brain starts to hurt trying to figure out
what the ultimate alignment should be.
I would probably attack this alignment by using option [b]
(they end up there anyway) and then adding \vspace's
at the bottom of each of these parboxes with values adjusted
to make the alignment come out to what I wanted it to be.
I can get almost exact alignment at the top with
\parbox[b]{0.2\linewidth}{%
\Huge \bfseries \textsf{\color{red}{A}.\color{violet}{B}.%
\color{teal}{C}.\color{orange}{D}.}\par\vspace{0pt}}% <---
for the first and
\parbox[b]{0.8\linewidth}{%
\bfseries \sffamily \centering ABCD \\
\scriptsize ABCD\par\vspace{-0.5pt}}%<---
for the second.
Dan
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