Originally Posted by LindaZ
You might dip the cutters in powered sugar first, then cut you letter. Powered sugar seems to be the thing that keeps the fondant from sticking.
Cornstarch works as well. In fact, I like it a little better for small cutters because it is finer. If you use powdered sugar, be sure to sift it. I use it for the counter when I roll my fondant and for my hands when I am modelling fondant.
If you have tiny areas you can use a toothpick to gently dislodge it.