\documentclass{article}
\usepackage{soul}
\usepackage{color}
\begin{document}
\so{letterspacing}
\sodef\an{}{.4em}{1em plus1em}{2em plus .1em minus .1em}
\an{example}
\sodef\an{\bf}{.7em}{1em plus1em}{2em plus .1em minus .1em}
\an{bold example}
\caps{CAPITALS, Small Capitals}
\ul{underlining}
\st{overstriking}
\hl{highlighting}
\setulcolor{red}
\ul{red underlining}
\setstcolor{blue}
\st{blue overstriking}
\sethlcolor{green}
\hl{green highlighting}
\end{document}