How Quantum, Dlj and Ziff-Davis are Keeping on Track with "Tracking Stock": Part Ii

Last month, Part I of this article provided an introduction to tracking stock. In particular, it looked at the benefits and risks of a tracking stock equity structure and why that structure may appeal to companies like Quantum, DLJ and Ziff-Davis. This part of the article focuses on the implementation of a tracking stock equity structure and the issuance of tracking stocks to existing shareholders and the public. It also describes features common to most tracking stocks in the marketplace. Once again, the efforts of Quantum, DLJ and Ziff-Davis will be used as examples.