Those are easy:
1) Stopover is any stay in a city of 24 hours or more. Providied that your flight out is scheduled no more than 23 hours 59 minutes after your flight in then it is a transit.
2) It means that the flight must be operated by one of the OneWorld airlines. You might want to book it under the code of a OW airline other than the one that is operating it because of the classes that might get you miles. You cannot use a OW Explorer ticket on an aircraft that is operated by a non-OW airline ("operated" means that it is owned and crewed by a OW airline - a QF code on an AS flight is operated by Alaska and marketed by Qantas, so not usable).
[This message has been edited by christep (edited 09-14-2003).]