Lawson Kroeker Investment Management Inc

Item 5          Fees and Compensation

                                    Individual Portfolio Management

Our annual fees for individual portfolio management are based upon a percentage of assets under
management and generally follow the below tiered schedule:

                Account Market Value                      Annual Fee Rate
                  First $2,000,000                            1.00%
                  Next $3,000,000                             0.75%
                  Next $5,000,000                             0.50%
                  Over $10,000,000                            0.30%

This fee schedule may be based on cumulative household assets under management. However, certain
ERISA rules prevent householding corporate retirement plans with personal assets for fee reductions. This
management fee is assessed at the end of each calendar quarter based on the then current fair market value
of the securities and cash account. A negotiated fee will be considered for those accounts with restricted
investment focus or special circumstances. In selected instances, client assets may be invested in mutual
funds. In such instances, the client pays the management fee charged by Lawson Kroeker as well as the
management fee charged by the mutual fund.

Unless otherwise agreed upon, fees will be directly debited from the client’s account by the custodian bank
during the month following the end of each calendar quarter. A fee statement and account valuation will
be provided to the client when fees are assessed. This reporting may be delivered electronically when
authorized by the client. Verification of the accuracy of the fees is the responsibility of the client rather
than the custodial bank.

Accounts initiated or terminated during a calendar quarter will be charged a prorated fee. Generally,
Lawson Kroeker will utilize the quarter-end value for the initial fee calculation, however, the firm may
waive the initial quarter’s fee until the portfolio is fully invested. The investment management agreement
may be terminated at any time, by either party, without penalty.

Clients may incur certain charges imposed by custodians, brokers, third party investment and other
third parties such as fees charged by managers, custodial fees, deferred sales charges, odd-lot
differentials, transfer taxes, wire transfer and electronic fund fees, and other fees and taxes on
brokerage accounts and securities transactions. Separately managed strategies, mutual funds, and
exchange traded funds also charge internal management fees, which are disclosed in a fund’s
prospectus.

Lawson Kroeker’s fees are exclusive of brokerage commissions, transaction fees, and other related costs
and expenses which shall be incurred by the client. Lawson Kroeker shall not receive any portion of these
commissions, fees, or costs. For clients that choose US Bank as its qualified custodian, Lawson Kroeker
will absorb the cost of the custody fee on behalf of its clients. Clients should note that similar advisory
services may be available from other registered investment advisers for similar or lower fees.

Item 12 further describes the factors that Lawson Kroeker considers in selecting or recommending broker-
dealers for client transactions and determining the reasonableness of their commissions.

                                               Mutual Fund

For the services provided to the LK Balanced Fund, we are compensated 0.75% per annum, based on the
market value of the assets under management determined by the Fund administrator. If clients maintain a
position in the Fund within their individual portfolio account, those assets will be excluded for purposes of
the portfolio asset management fee.

                                          Sub-Advisory Services

As summarized above in Item 4, Lawson Kroeker shall manage certain separately managed accounts via a
dual contract program in which the client pays Lawson Kroeker its fee directly. These fees, which are
separate from and in addition to the fees payable to the program sponsor, are specified in the separate
investment advisory agreement between the client and Lawson Kroeker.

Item 7          Types of Clients

Lawson Kroeker generally provides investment advisory services to individuals, high net worth individuals,
trusts, charitable organizations, corporations, pension and profit sharing plans, and investment companies.

We require a $1,000,000 minimum market value for individually managed accounts. Related accounts may
be combined to qualify for the minimum account size requirement. Consideration will be given to waive
the minimum size requirement in instances where significant future contributions to the account are
expected.