Beddow Capital Management Inc

Item 5: Fees and Compensation
      Fee Billing Description
Fees are determined quarterly based on assets under management on the last day of each period. All fees
are payable in arrears.
        Individually Managed Portfolios:
                 First $500,000 of assets managed @ 1.50% per annum
                 Next $500,000 @ 1.375% per annum
                 Next $1,500,000 @ 1.25% per annum
                 Greater than $2,500,000 @ 1.125% per annum           (Minimum portfolio: $5,000,000)

BCMI retains, and may exercise, the flexibility to modify its fees to accommodate the special needs of
clients. Such needs may arise when combining related accounts for purposes of fee-based calculations, to
accommodate the gradual restructuring of an account, or as the result of other reasonable considerations.
Investment management fees are billed quarterly, in arrears, meaning that we invoice after the quarterly
billing period has ended. New accounts opened during the quarter will be calculated for pro rata days in
the quarter. The portfolio value at the completion of the prior full billing quarter is used as the basis for
the fee computation. Payment in full is expected upon invoice presentation. Fees may be paid by the
client, or a client may elect to have fees deducted directly from the investment account. The client must

consent with the custodian in advance to direct debiting. The ending portfolio value may be adjusted for
capital inflows during the quarter that have not been invested at the sole discretion of BCMI.
BCMI’s standard investment advisory contracts are terminable at any time by either party following 30
days’ written notice; in the event of termination, fees will be assessed on the value of the account at that
time of termination for the pro rata days in the quarter and will include the 30 day termination period.

        Other Fees

In addition to the Firm’s management fee, the client will incur certain charges, which could include but
are not limited to, charges imposed by broker-dealers and custodians, such as brokerage commissions
and/or transaction fees, transfer fees, wire transfer and electronic fund transfer fees, and other fees on the
client brokerage accounts and securities transactions. Certain types of client brokerage accounts will be
subject to taxes. Mutual funds and ETFs also charge internal management fees and other fees and
expenses. These fees and expenses are described in the prospectuses of those funds, and are paid for by
the funds, but are ultimately borne by the client. These fees are in addition to the fees paid by the client to
BCMI. BCMI does not receive any compensation from fund companies or broker-dealers.

Item 7: Types of Clients
We provide investment advice primarily to high net worth individuals and their families, and to trusts.

We also may provide investment advice to pension and profit-sharing plans and plan participants, as
well as to foundations and other institutions, and to business entities.

BCMI generally requires a minimum of $5 million in assets to be managed to accept a new client.
However, account minimums can be waived at the discretion of BCMI.