Khrom Capital Management LLC

Item 5 Fees and Compensation

Khrom Capital and/or the applicable general partner of the clients have the authority to (1) deduct
management and performance-based fees from the assets of the clients, and (2) authorize the
payment or reimbursement of other fees or expenses to third parties from the assets of the clients.

Management Fees
Khrom Capital’s clients and consequently the underlying investors, incur an annual management
fee of 1.0%. The management fee is charged monthly, in advance. If the applicable general partner
allows an investor in a private fund to withdraw capital from the private fund prior to the end of a
quarter, the investor incurs a pro-rated management fee for the period in which the withdrawn assets
remained invested in the private fund.

Finally, Khrom Capital charges reduced or no management and/or performance-based fees to
Khrom Capital, its affiliates, current and former employees and their family members, and current
and former consultants. Khrom Capital has no obligation to disclose the specific details of such

arrangements or to offer such additional rights, terms, or conditions to all investors.

Item 7 Types of Clients

Khrom Capital provides investment advisory services to private funds, which are generally
organized as limited partnerships under the laws of the State of Delaware or another appropriate
jurisdiction or, in the case of offshore private fund, a company under the laws of the Cayman
Islands. Khrom Capital expects each private fund to qualify for an exclusion from having to register
as an investment company under the IC Act pursuant to Section 3(c)(1) thereunder, and to offer
interests to investors pursuant to Regulation D or Regulation S under the Securities Act. Thus, this
disclosure brochure may discuss information relevant to such investors, as necessary or appropriate.
Nonetheless, this brochure is designed solely to provide information about Khrom Capital
and should not be considered as an offer of interest in any Khrom Capital private fund. Any
such offer may be made only by delivery to the prospective investor of the PPM for the private
fund under consideration.

Client investors may include high net worth individuals and a variety of institutional investors (e.g.,
trusts, employee benefit plans, endowments, foundations, public pension plans, sovereign wealth
funds, corporations, private fund of funds, and other types of entities).

Certain clients or investors in the private fund may expose Khrom Capital to potential conflicts of
interest. Investments by such parties may expose Khrom Capital to potential conflicts of interest
with respect to proxy voting decisions and investment decisions and could expose Khrom Capital to
risks relating to the receipt of material non-public information or other confidential information
relating to the company in question. In addition, Khrom Capital employees have made, or may
make, contributions to charitable organizations that have invested in the clients. Khrom Capital
may have a conflict between acting in the best interest of the clients and making decisions that
build goodwill with the aforementioned types of investors so they will maintain or increase their
investments in the private fund. Please see the “Code of Ethics, Insider Trading Policies and Procedures
and Personal Trading Policies and Procedures” sections for additional information about Khrom
Capital’s insider trading policy and the “Proxy Voting” section for additional information about
Khrom Capital’s proxy voting policies and procedures.

When accepting new investors, the clients generally require a minimum investment of $1 million
but may accept lesser amounts at the discretion of Khrom Capital and/or the general partner of the
relevant clients.