The research on graphite intercalation compounds often acts as a forerunner for research in other sciences. For instance, the concept of staging, which is fundamental to graphite intercalation compounds, is also relevant to surface science in connection with adsorbates on metal surfaces and to high-temperature superconducting oxide layer materials. Phonon-folding and mode-splitting effects are not only basic to graphite intercalation compounds but also to polytypical systems such as supercon- ductors, superlattices, and metal and semiconductor superlattices. Charge transfer effects playa tremendously important role in many areas, and they can be most easily and fundamentally studied with intercalated graphite. This list could be augmented with many more examples. The important message, however, is that graphite inter- calation compounds represent a class of materials that not only can be used for testing a variety of condensed-matter concepts, but also stimulates new ideas and approaches. This volume is the second of a two-volume set. The first volume addressed the structural and dynamical aspects of graphite intercalation compounds, together with the chemistry and intercalation of new compounds. This second volume provides an up-to-date status report from expert researchers on the transport, magnetic, elec- tronic and optical properties ofthis unique class of materials. The band-structure cal- culations of the various donor and acceptor compounds are discussed in depth, and detailed reviews are provided ofthe experimental verification ofthe electronic struc- ture in terms of their photoemission spectra and optical properties.