Credit Bridge Advisors LLC

Item 5: Fees and Compensation
The Adviser charges clients a combination of management and incentive fees.

To understand how these fees will be calculated, it is first necessary to understand how the Adviser
manages client portfolios. The Adviser manages each client portfolio for a fixed investment period.
Over that investment period, the underlying investors in such portfolio typically agree to make
available a certain amount of “committed capital” with which the Adviser can make investments.
As investments are realized during the investment period, the Adviser will typically have the ability
to either recycle some or all of such realized capital into new investments and/or return some or all
of it to investors in the form of distributions.

Each management fee will be calculated as an agreed percentage of the client’s committed capital
and will be payable quarterly in advance. Client agreements cannot typically be terminated during
an investment period without incurring a penalty and this means that clients and investors will
typically not have any recourse to obtain any refund of any pre-paid fee. Management fees will
typically be deducted from the client’s account, although this may require calling committed capital
from investors to the extent the Adviser determines this to be appropriate.

Although the precise method of calculating incentive fees may vary from client to client, the Adviser
only charges incentive fees on total returns. The Adviser will typically agree or establish a preferred
rate of return for each client and will only earn the incentive fee to the extent that realized gains
cumulatively exceed such preferred rate of return net of all prior management fees and expense
allocations. Incentive fees will be deducted from client accounts and/or withheld from investor
distributions.

The exact calculation methodologies and percentages will either be set out in the governing
document for co-mingled private fund clients or agreed with the underlying investor for funds-of-
one. Such percentages are not set out herein as this Brochure is only delivered to qualified
purchasers as defined in section 2(a)(51)(A) of the Investment Company Act of 1940.

In addition to management and incentive fees, the Adviser allocates certain expenses to its clients.
Allocable expenses may vary from client to client, but include:

      Fees, costs and expenses attributable to due diligence, structuring, organizing, acquiring,
       managing, holding, valuing, winding up, liquidating, dissolving and disposing of
       investments, including follow-on investments, refinancings and margin calls;
      Third-party due diligence and other out-of-pocket expenses related to unconsummated
       transactions – note that this could result in clients paying the entire cost of an
       unconsummated transaction even if the Adviser contemplated allocating part of such
       transaction to a third-party co-investor or co-investment vehicle;
      General portfolio expenses (such as interest, brokerage, custodian, and finder’s and
       registration fees) and market data charges;
      Insurance premiums;
      Legal, accounting, appraisal, consulting, financing and auditing fees and expenses;
      Expenses associated with the preparation and distribution of private fund financial
       statements;
      Costs and expenses of any meetings of any private fund advisory committee and annual and
       other formal meetings of such fund’s partners;
      Extraordinary expenses (such as litigation costs and indemnification obligations);
      Expenses associated with the preparation of private fund tax returns and K-1s;
      Expenses incurred by any private fund general partner or managing member in its capacity
       as such fund’s partnership representative, within the meaning of the Internal Revenue Code
       or similar role under applicable state or local tax law;
      Taxes, fees and other out-of-pocket expenses levied against any private fund or on its income
       or assets or in connection with any tax audit, investigation, settlement or review of the fund
       (to the extent not indemnified for by a fund partner) or otherwise related to the fund’s
       business or investments;
      Costs and expenses relating to establishing and maintaining credit lines and other financings,
      Costs associated with the amendment of private fund governing documents;
      Fund administration fees;
      Costs associated with the termination, liquidation, winding up or dissolution of a private
       fund or related vehicles; and
      Any organizational expenses, as agreed to with a fund-of-one’s underlying investors, and/or
       as described in a private fund’s governing documents.

While fees and expenses may be negotiable in the case of fund-of-one clients the Adviser does not
intend for this to be the case with co-mingled private funds. However, certain accommodations may
be granted for certain strategic investors by way of side letters, and certain investors affiliated with
the Adviser may pay reduced or no management or incentive fees in the sole discretion of the
Adviser. Further, the fees and expenses to be paid by co-investors and co-investment vehicles, will
typically be negotiated on case-by-case basis, and may, depending on the facts and circumstances,
result in such co-investors or co-investment vehicles paying no fees or expenses. However, except
for in the case of third-party due diligence and other out-of-pocket expenses related to
unconsummated transactions, the Adviser will seek to ensure that clients do not pay any part of any
expense that could otherwise be deemed to be attributable to a co-investor or co-investment vehicle.

Item 7: Types of Clients
The Adviser’s clients are typically private funds, which may be, funds-of-one consisting of single
investors, comingled funds in which multiple investors may invest, or co-investment vehicles. In
some cases, the Adviser may enter (and has entered) into agreements with fund-of-one investors
prior to the establishment of the applicable fund-of-one, pursuant to which, the Adviser agrees to
source investments that will ultimately be acquired by the fund-of-one in which the investor
ultimately invests. The only private fund currently in existence is Credit Bridge Fund I LLC.

The minimum commitment to invest in a co-mingled private fund or co-investment vehicle will be
set out in the applicable private fund governing documents, although the Adviser will maintain
discretion to accept less than the minimum investment threshold. The minimum commitment for a
fund-of-one will be negotiable and considered on a case-by-case basis but is not expected to be less
than $75 million. The minimum size for each co-investment vehicle will be governed by the facts
and circumstances pertaining to the underlying investment that necessitated the creation of such co-
investment vehicle.