Dardanelles Capital LP

Item 5 - Fees and Compensation

Fees with respect to the Fund

Dardanelles’s compensation is negotiable and varies, but typically, it charges an annual fee of
1.25% - 1.5% (0.3125% - 0.375% per quarter) of assets under management, depending on
investor share class, which amount is payable in quarterly installments at the beginning or

end (depending on the provisions of each client’s partnership or other account agreement)
of each calendar quarter based on the net market value of each client’s account on the date
the fee accrues and becomes payable. Dardanelles also typically is allocated from each
limited partner in the Fund a performance allocation generally equal to 15%-20%, depending
on investor share class. Performance allocations are subject to the recovery of net losses
apportioned to an investor’s loss recovery account. Dardanelles complies with Rule 205-3
under the Investment Advisers Act of 1940, to the extent required by applicable law.

Dardanelles deducts management fees, performance allocations and fees directly from client
accounts but may bill a client for such amounts on request.

A limited partner may generally withdraw all or any portion of the balance in its capital
account as of the last day of the calendar quarter immediately following the twelve-month
period after the date that the capital account was established. Requests for withdrawal must
be in writing at least sixty (60) calendar days prior to the requested withdrawal date.

The capital account of an investor admitted to the Fund other than on the first calendar day
of a calendar quarter will be subject to a pro rata portion of the management fee charged for
such quarter based upon the portion of the quarter for which it is an investor. No portion of
the management fee will be refunded if an investor is permitted to withdraw on a date other
than the end of a calendar quarter.

Each account is responsible for its own costs and expenses related to investments and
operations, including trading costs and expenses (such as brokerage commissions, expenses
related to short sales, and clearing and settlement charges), ongoing legal, accounting and
bookkeeping fees and expenses, and the fees and expenses charged by any fund administrator
for its accounting, bookkeeping and other services. Dardanelles bears its own operating,
general, administrative and overhead costs and expenses, other than the expenses described
above. All or part of these costs and expenses may be paid, however, by securities brokerage
firms and futures commission merchants that execute clients’ securities trades, as discussed
in Item 12 – Brokerage Practices below.

Dardanelles and its supervised persons do not receive a brokerage commission or any other
compensation attributable to the sale of securities or investment products.

Item 7 - Types of Clients

Dardanelles’s Clients (and Investors therein) may include endowments, sovereign wealth
funds, public or private pensions, foundations, institutions, and the Fund. Dardanelles does
not provide investment advice individually to the Investors of the Fund.

Interests in the Fund are offered pursuant to applicable exemptions from registration under
the Securities Act and the 1940 Act. Permitted Investors in the Fund may include high net
worth individuals, banks, thrift institutions, pension and profit-sharing plans, trusts, estates,
charitable organizations and other business entities.

The minimum investment requirement for the Fund is $1,000,000. However, the General
Partner of the Fund, in its sole discretion, may permit investments that are less than the
required minimum investment requirement. In addition, legal eligibility requirements must
be met to invest in the Fund.

Minimum account sizes for separate other Client accounts vary depending on the type of
investment advisory services to be performed and in certain circumstances may be
negotiable. Separate Client account investment advisory services are generally available to
individuals and institutional accounts with a minimum account size of $25 million.