Steve is simple to model. Just a bit of box modeling and spline extrusions. If you can't do this yet then go back to the "Simple Cartoon Face" and the "Extruding Splines" projects to learn a bit more about box modeling and extruding splines.
The more important purpose of this project is to teach you how to use Multi-Sub Object materials MSO's are necessary if you want to learn how to import your characters (models) into UDK. UDK is the game engine used in our Video Game Design courses.