Lexington Capital Management LP

Item 5. Fees and Compensation

The Adviser charges the Clients an asset-based investment management fee (the “Management Fee”). The
Adviser, or an affiliate of the Adviser that serves as the general partner of one of the Funds (the “General
Partner”), is also eligible to receive from the Clients either an incentive fee (the “Incentive Fee”) or an
incentive allocation (the “Incentive Allocation”), which is compensation based on a share of realized and
unrealized appreciation of the Clients’ assets. Fund investors are subject to the Management Fee and
Incentive Allocation indirectly through their investment in the Funds.

Depending on the Client, the Management Fee is generally payable either monthly or quarterly in arrears
or quarterly in advance and is generally at an annual rate of 2%. The Management Fee will be prorated for
any period that is less than a full fiscal quarter and will be adjusted for subscriptions and withdrawals.
Depending on the Client, the Adviser instructs the Client’s custodian to deduct the Management Fee from
the Client’s account or bills the Client for fees incurred.

The Incentive Fee or Incentive Allocation charged to certain Clients is generally 20% of the Clients’ net
profits (including any realized and unrealized gains and losses) and is subject to a loss carry-forward
provision. The Incentive Allocation, if any, will be reallocated to the Adviser or its affiliate at the end of
each fiscal year, or at the time of full or partial withdrawal from a Client, if other than year end. The
Incentive Fee, if any, will be billed to other Clients at the end of each fiscal year or at the time of a full or
partial withdrawal from a Client, if other than year end.

In addition to paying the Management Fee and allocating the Incentive Allocation or paying an Incentive
Fee, certain Clients are subject to other investment expenses, including, but not limited to, investment
related expenses such as the Client’s brokerage commissions (see Item 12), interest on margin accounts and
other indebtedness, custodial fees, bank service fees, withholding and transfer fees, taxes, systems and
technology expenses, third party research tools, corporate licensing fees, legal and auditing expenses,
accounting, fund administration, outsourced risk management advisory and software, investment related
consultants and travel costs that are research related, technology and computer services, Client related
insurance costs and indemnification payments (including insurance for the Adviser and General Partner),
costs and expenses relating to the Client’s, Adviser’s and General Partner’s regulatory compliance,
including, without limitation, the costs of compliance programs, examinations, regulatory inquiries and
regulatory filings (including Forms 13D, 13G and 13F, PF, and other regulatory and reporting forms
relating to the Client’s trading and investing), costs of Foreign Account Tax Compliance Act (“FATCA”)

and other tax-related compliance, expenses incurred with respect to the preparation, duplication and
distribution to limited partners and prospective limited partners of Client offering documents, annual reports
and other financial information, any other services or service provider expenses deemed necessary by the
General Partner on behalf of a Fund.

It is important that each investor who is considering an investment review the relevant private placement
memorandum, limited partnership agreement, management agreement, and/or subscription agreement
(individually and collectively, the “Governing Documents”) applicable to the Client for a detailed
description of the fees and expenses applicable to such investment.

Depending on the Client, the Adviser or General Partner, in its sole discretion, may waive or reduce the
Management Fee, Incentive Fee or the Incentive Allocation for Clients or limited partners that are
principals, employees or affiliates of the General Partner or the Adviser, relatives of such persons, and for
certain large or strategic investors.

Item 7. Types of Clients

As described in Item 4, the Adviser’s Clients are Funds suitable for accredited, institutional and other
sophisticated investors. Generally, the minimum capital contribution for an investment in the Adviser’s
Funds is $500,000 and there is no minimum additional investment is. In each case, however, the Adviser
and/or its affiliates have sole discretion to accept lesser amounts.