Lanmar Capital Management LLC

Item 5 Fees and Compensation

Pursuant to an investment advisory contract, the client will pay Lanmar Capital Management an
annual management fee, payable quarterly in arrears, based on the value of portfolio assets of the
account on the last business day of the quarter. The management fee may be adjusted to account
for significant contributions or withdrawals made to the account during the quarter. New account
fees will be prorated from the inception of the account to the end of the first quarter.

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Management fees range up to 2.0% per annum depending on the type and complexity of the
investment management strategy employed as well as the size of the account or overall client
relationship. Management fees may be reduced or waived for directors, officers, and employees
of the Advisor at the discretion of management. These fees may be negotiated by Lanmar Capital
Management at its sole discretion. The client will give written authorization permitting the
Advisor to be paid directly from their account held by the custodian. The custodian will send a
statement at least quarterly to the client. Where it is not practical to deduct fees directly from client
accounts, client will be sent an invoice at the end of each quarter. The invoice is payable upon
receipt.

Advisory services may be terminated at any time, by either party, by providing written notice to
the other party. The client will be responsible for the prorated performance fees based on the
number of days in the quarter, up to and including the date of termination.

At no time will Lanmar Capital Management accept or maintain custody of a client’s funds or
securities except for authorized fee deduction. Client is responsible for all custodial and securities
execution fees charged by the custodian and executing broker-dealer. The Advisor’s fee is separate
and distinct from the custodian and execution fees.

Neither Lanmar Capital Management nor its supervised persons accept compensation for the sale
of securities or other investment products, including asset-based sales charges or service fees from
the sale of mutual funds.

Item 7 Types of Clients

The Advisor will offer its services to individuals, trusts, estates, charitable organizations, and
corporations or other business entities.

The Advisor does not have any minimum requirements for opening or maintaining an account.

The Advisor requires that its clients meet the definition of a “qualified client” by investing either
$1,100,000 with the Advisor or that they have a net worth of at least $2.2 million. In addition, the
Advisor’s cumulative minimum account requirement for opening and maintaining an account is

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$100,000. However, based on facts and circumstances the Advisor may, at its sole discretion,
accept accounts with a lower value.