When you strip out the fluff, the only important detail is that Quark is going to produce the tools you can use to make Blio ebooks.
From the press release:
Quark, a leading provider of publishing software; K-NFB Reading Technology, creator of the Blio ereader application; and Baker & Taylor, the world’s largest distributor of physical and digital media products, today announced their partnership at Untethered – a digital media conference in New York. The three companies are collaborating to offer content creators the first complete solution for Digital Publishing 2.0. The partnership brings together experts in digital content creation, digital content distribution, and the digital e-reading experience to offer content creators and providers a simple, cost-effective digital publishing solution.