ISZO Capital Management LP

Item 5 - Fees and Compensation

Our fees and compensation are described in the advisory contracts we enter into with our clients.
Investors in the Fund pay a monthly management fee of 0.125% per month (approximately 1.5%
per annum), and are subject to an annual performance-based allocation of up to 20% of aggregate
net capital appreciation, subject to a high water mark.

We generally deduct our management fees monthly in advance and such fees are not refundable if
the advisory contract is cancelled or if any investor withdraws from the Fund prior to the end of a
payment period. The General Partner generally receives performance-based allocations from the
Fund on an annual basis in arrears and upon withdrawals by investors in the Fund.

The Fund will generally bear all operating expenses, including interest expense, brokerage
commissions (See Item 12 “Brokerage Practices” below), taxes, blue sky fees, research fees and
expenses, legal, audit and accounting fees and expenses, administration and consulting fees and
expenses, professional fees and expenses, organizational and offering expenses and other similar
fees and expenses.

We may also allocate a portion of the Fund’s capital to money market funds or exchange-traded
funds. In addition to the fees and expenses discussed above, investors will indirectly incur
similar fees and expenses if we invest the Fund’s capital in such money market funds or exchange

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ISZO CAPITAL MANAGEMENT LP Form ADV: Part 2A                                                  Page 4

traded funds, as these funds in turn pay similar fees to their investment managers and other
service providers.

We may reduce or waive the management fee and/or performance-based allocations for certain
investors in the Fund without notice to, or the consent of, the other investors.

Item 7 - Types of Clients

We primarily provide investment advice to a single private investment fund, the Fund. Investors
in the Fund are generally high net worth individuals and institutional investors that qualify as
“accredited investors” (as defined in Rule 501 under the Securities Act of 1933, as amended) and
“qualified clients” (as defined under the Investment Advisers Act of 1940, as amended). The
minimum investment in the Fund is generally $1,000,000. We may waive the minimum under
certain circumstances.