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This button

displays and hides the Group Panel of the grid. Using Group Panel, you can group your records by a column or by a set of columns.
There are examples of a grid without and with the Group Panel displayed.
Having the Group Panel displayed, you can drag-and-drop some column headers to the Group Panel and arrange them there to get the grid grouped. On the next picture, you see grid Services grouped by Service Categories and then by Active/Inactive.
See also Sorting Data in Grids, Full Expand and Full Collapse.
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