Cannon Wealth Management Services LLC

Item 5 - Fees and Compensation

CWMS charges fees based on a percentage of assets under management as well as fixed fees, depending on
the particular types of services to be provided. The specific fees charged by CWMS for services provided
will be set forth in each client’s Agreement.

     A. Financial Planning and Investment Management Services

Fees for Financial Planning and Consulting Services
Clients that are receiving financial planning services only are charged a fixed fee ranging up to $25,000,
depending on the complexity of a client’s plan and services provided. For clients receiving ongoing
financial planning services, initially, 25% of the annual fee is due upon entering into the agreement with
the Firm and the remainder of the annual fee is charged monthly thereafter based on a calendar quarter. For
financial planning services that are completed upon the delivery of the financial plan to the client, initially
25% of the fee is due upon entering the agreement with the Firm and the remainder of the fee is charged
upon delivery of the completed financial plan. In addition, some financial planning clients may be subject
to hourly fee rate charges, ranging up to $400, rather than a fixed fee. Actual fees charged are clearly
outlined in the financial planning agreement and clients receive invoices reflecting the amount of the fee
due and payable. Please refer to “Additional Information Regarding Fees” below for more detailed
information regarding fees paid by CWMS clients.

Fees for Investment Management Services
CWMS charges an annual advisory fee that is agreed upon with each client and set forth in an agreement
executed by CWMS and the client. If fixed, the advisory fee will be specified on the fee schedule as set
forth in the agreement executed by CWMS and the client. If based on a percentage of the value of assets
under management, the advisory fee for the initial month shall be paid, on a pro rata basis, in arrears, based
on the average daily balance of the net billable assets under management at the end of such initial month.
For subsequent months, the advisory fee shall be paid, in arrears, based on the average daily balance of the
net billable assets under management at the end of that month, as provided by third-party sources, such as
pricing services, custodians, fund administrators, and client-provided sources.

Following is CWMS’s asset based fee schedule for Investment Management Services:

                                          FEE SCHEDULE
                          Market Value of Assets                     Rate
                      up to $99,999                                 1.800%
                      $100,000 to $249,999                          1.675%
                      $250,000 to $499,999                          1.550%
                      $500,000 to $999,999                          1.425%
                      $1,000,000 to $1,999,999                      1.300%
                      $2,000,000 to $2,999,999                      1.175%

Cannon Wealth Management Services                                                     Disclosure Brochure

                       $3,000,000 to $3,999,999                     1.050%
                       $4,000,000 to $4,999,999                     0.925%
                       $5,000,000 to $7,499,999                     0.800%
                       $7,500,000 to $9,999,999                     0.675%
                       $10,000,000 to $12,499,999                   0.550%
                       $12,500,000 to $14,999,999                   0.425%
                       $15,000,000 – no maximum                     0.300%

Such fees are incremental and accordingly are charged on a “waterfall.” By way of example, a client with
$499,999 in assets under management would be charged: 1.800% on the first $99,999; 1.675% on the next
$149,999; and 1.550% on the remaining assets under management.

Notwithstanding the foregoing, CWMS and the client may choose to negotiate an annual advisory fee that
varies from the ranges and schedules set forth above. Factors upon which a different annual advisory fee
may be based include, but are not limited to, the size and nature of the relationship, the services rendered,
the nature and complexity of the products and investments involved, time commitments, and travel
requirements. The advisory fee charged by the Firm will apply to all of the client’s assets under
management, unless specifically excluded in the client agreement. The advisory fee may include the
financial planning services described above.

In addition, the Transition Clients have fee schedules that are a continuation of their fee schedules with
the non-affiliate investment adviser through whom CWMS personnel previously provided investment
advisory services. The fee schedules for the Transition Clients are different than the fee schedules and
ranges set forth above, range up to an annualized fee of 1.80%, and may be applied in a different manner.

Although CWMS believes that its fees are competitive, clients should understand that lower fees for
comparable services may be available from other sources and firms.

The investment advisory agreement between CWMS and the client may be terminated at will by either
CWMS or the client upon written notice. CWMS does not impose termination fees when the client
terminates the investment advisory relationship, except when agreed upon in advance.

Additional Fees and Expenses Certain personnel of CWMS serve as Certified Public Accountants (namely
through affiliate Cannon & Company LLP), and occasionally render services in this area. As a result, these
personnel may charge normal and customary fees for services related to accounting and tax work. These
fees or expenses are separate from fees charged for investment advisor services.

     B. Payment of Fees

CWMS generally deducts its advisory fee from a client’s investment account(s) held at his/her custodian.
...

Item 7 - Types of Clients

CWMS offers investment advisory services to individuals, including high net worth individuals, families,
family offices, trusts, businesses, charitable foundations, and retirement/profit-sharing plans. CWMS does
not impose a minimum portfolio size or a minimum initial investment to open an account. However, CWMS
does reserve the right to accept or decline a potential client for any reason in its sole discretion.