Hicks Muse & Co Partners LP

Item 5 – Fees and Compensation

Management Fees

Our Funds no longer pay management fees.

Other Fees

We have received and may in the future receive directors’ fees in connection with the activities of the
Funds (“Other Fees”). In addition, we are reimbursed by the Funds’ portfolio companies for expenses
we incur in connection with our performance of the services that give rise to Other Fees. The
directors’ fees that we receive with respect to a portfolio investment are generally determined with
reference to the portfolio company’s compensatory plan for its board of directors. Any such fees are
not subject to offset against management fees, since the Funds no longer pay management fees.

Each Fund will typically pay all expenses, costs and liabilities incurred in connection with the operation
of the Fund, its portfolio investments, any proposed investment or transaction considered by the Fund
(whether or not consummated), and the performance by the applicable general partner, the investment
manager, the Fund and their respective affiliates of their respective obligations under the Fund’s
governing documents or the applicable investment management agreement, including, without
limitation, (i) the organization, maintenance and dissolution of any alternative investment vehicle or
holding vehicle, including documentation related thereto, (ii) all expenses, costs and liabilities incurred
in connection with originating, identifying, evaluating, structuring, negotiating, making, monitoring,
any sale or proposed sale, other disposition or valuation of portfolio investments or portfolio
investments considered for the Fund (including all broken deal expenses and any other costs incurred
as a result of the investigation of a proposed transaction or investment by the Fund that is not
consummated), including, but not limited to, any due diligence costs in connection therewith, reverse
break-up fees, commercial lending fees, underwriting commissions and discounts, research expenses,
travel expenses, legal fees, accounting fees, audit fees, investment banking fees, consulting fees,
professional fees, appraisal fees, taxes, brokerage fees, insurance premiums and underwriting
commissions incurred in connection with representation and warranty insurance, out-of-pocket
expenses incurred in connection with any of the foregoing, out-of-pocket expenses incurred by
consultants, advisors, or operating partners, and other expenses (including reasonable expenses for
business development, travel and entertainment directly related to the development and management
of portfolio investments and prospective portfolio investments, to the extent not reimbursed by a
third party), (iii) all expenses and costs of third-party administrators and custodians; (iv) expenses and
costs incurred in connection with the purchase of insurance policies on behalf of the general partner
and the Fund, including for director and officer liability and other liabilities of the general partner and
the Fund, which at the discretion of the general partner may be a single or umbrella policy, (v) all
expenses, costs and liabilities incurred in connection with litigation (including damages) or other
extraordinary events and the amount of any judgments or settlements paid in connection therewith,
as well as indemnity expenses, advances, and retentions or deductibles under insurance policies (vi) all
taxes, fees and other governmental charges payable by the Fund, expenses incidental to the transfer,
servicing and accounting for the Fund’s cash and securities, including all charges of depositories and
custodians, and all expenses incurred by the tax matters representative or tax matters partner in such
capacity, and all expenses in connection with any tax filing, tax audit, investigation, settlement or
review of the Fund, (vii) expenses and costs incurred in connection with communications with limited
partners concerning portfolio investments and the Fund’s investment activities (including any
software or online data portal used in connection with such reporting), (viii) all expenses and costs
associated with meetings of and with limited partners, including any associated expenses related to
meals, entertainment, or the preparation of materials, (ix) all expenses and costs incurred in
connection with the advisory committee, including meetings thereof and any reasonable travel or out-
of-pocket expenses incurred by its members associated with such meetings, expenses incurred in
connection with the engagement of third-party advisors, and any other expenses incurred by the
advisory committee or its members in connection with the advisory committee’s activities, (x)
brokerage commissions, custodial expenses, appraisal fees and other investment costs actually

incurred in connection with portfolio investments, (xi) all expenses and costs of winding up or
liquidating the Fund and its subsidiaries, (xii) all expenses and costs incurred in connection with the
maintenance of the Fund’s books of account and the preparation of audited or unaudited financial
statements required to implement the provisions of the Fund’s governing documents or as required
by any governmental authority with jurisdiction over the Fund (including, without limitation, fees and
expenses of independent auditors, accountants and counsel, the costs and expenses of preparing and
circulating the reports called for by the Fund’s governing documents (including any software or online
data portal used in connection with such reporting), and any fees or imposts of a governmental
authority imposed in connection with such books and records and statements) and other routine
administrative expenses of the Fund or its subsidiaries, including, but not limited to, the cost of the
preparation of tax returns, cash management expenses and insurance and legal expenses, (xiii) all
expenses and costs, including interest and fees, incurred in connection with any indebtedness or other
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Item 7 – Types of Clients

We provide discretionary investment advice solely to private equity funds. Investment advice is
provided directly to the Clients (subject to the direction and control of the General Partner of each
such Fund, if applicable) and not individually to investors in such vehicle.

We did not have a minimum size for a Fund, but minimum investment commitments were established
for investors in the Fund as set forth in each Fund’s governing documents. In their sole discretion,
the General Partners of the Funds permitted investments below the minimum amounts set forth in
the offering documents of such Fund.

Client investors are sophisticated, private investors, consisting of high net worth individuals and family
office vehicles, corporations, fund of funds vehicles, foundations and trusts, and public and private
pension plans. The requirements for investing in a Fund vary among the Funds and are set forth in
the Governing Documents of each Fund. All Funds impose requirements that investors qualify as
“accredited investors” and “qualified clients,” and some Fund require that investors also qualify as
“qualified purchasers” under the Investment Company Act of 1940, as amended.

In certain circumstances, we also serve as investment manager to various co-investors who invest
alongside the Funds in certain portfolio companies. Certain limited partners of the Funds were
permitted to co-invest directly in a particular portfolio company. Co-investor limited partners
do not pay a management fee or carried interest with respect to the co-investments, but may bear
certain expenses (e.g., legal and other expenses associated with a portfolio company investment).
We selected which limited partners were permitted to co-invest in a particular portfolio company
based on various factors, including the sophistication of the investor, the ability of the investor
to fund and complete the investment on a timely basis and for strategic or other reasons as more
fully described in the applicable Fund’s limited partnership agreement.