[Shop-talk] water heaters and hot water loops?

[scott.hall at comcast.net]

so I'm re-doing the hot water system at the new house, and I was reading this article: 

http://www.taunton.com/finehomebuilding/PDF/Free/021192082.pdf 

can anyone explain the solution #2 to me? I mean in such a way that I could plumb it? I understand the problem he's trying to solve, but I'm not at all sure how the fix on the last page is solving it. and the narrative in the text isn't making sense at all. 

thanks in advance. 

scott