Limestone Value Partners LLC

5.         Fees and Compensation

Fund – Fees

As compensation for services provided to HQC Fund, we receive monthly management fees of 0.0417% of
each limited partner’s capital account balance (0.5% per annum), calculated and payable monthly in
advance. As compensation for services provided to LFFI Fund, we receive management fees, calculated
and payable monthly in advance at an annual rate of between .45% and .9% depending on the balance of

each investor. Management fees are non-refundable.

Fund – Expenses
The Funds bear all costs and expenses directly related to their investment program, including expenses
related to proxies, underwriting and private placements; brokerage commissions; interest on debit
balances or borrowings; custody fees; bank service fees; and any withholding or transfer taxes imposed on
the Funds.

The Funds also bear all out-of-pocket costs of the administration of the Funds, including accounting, tax,
audit, investment-related expenses (including research, and expenses associated with consultants and
experts), hardware, software or other technology used to facilitate and manage the order execution of
Securities or otherwise manage the Funds, legal expenses, costs of any litigation or investigation involving
the Funds’ activities, and costs associated with reporting and providing information to existing and
prospective limited partners.

Separately Managed Accounts – Fees

We receive fees for advising separately managed accounts according to each client's investment advisory
agreement. The maximum quarterly fee is equal to 0.25% and it is charged in arrears based on the net
asset value of portfolio assets on the last business day of the calendar quarter (1.0% per annum).
Additionally, the client is charged an annual administrative fee of $250 per account at the beginning of
each calendar year.

Separately managed account fees are negotiable in certain circumstances. Fees for the same or similar
services may vary from client to client. Separately managed account fees are debited from clients’
custodial accounts and the clients receive invoices detailing the calculation in their quarterly reports. The
custodian does not validate the fee or its calculation. We urge clients to compare the account statements
received from the custodian with the reports they receive from Limestone.

Separately managed account clients are able to terminate the advisory relationship by providing written
notice. We will prorate the fees earned through the termination date and send the client an invoice for the
advisory fees due.

Separately Managed Accounts – Expenses

In addition to our advisory fee shown above, the client is responsible for paying other fees associated
with their account. These fees may include, but are not limited to:

    •   mutual fund loads (if applicable). These charges are paid to brokers as a form of commission;
    •   management fees for ETFs and mutual funds. These are fees charged by the managers of the
        ETF or mutual fund and are a portion of the expenses of the ETF or mutual fund;
    •   custodial fees, brokerage commissions, transaction fees, and other maintenance fees charged by
        the custodian and/or executing broker;
    •   reporting fees;
    •   accounting and legal fees including certain tax and audit fees; and
    •   odd-lot differentials.

Please refer to “Brokerage Practices” below for additional information regarding brokerage commissions.

7.          Types of Clients

 Our clients include private pooled investment vehicles and high net worth individuals to which we provide
 advice through separately managed accounts.

 Investors in the Funds must be “accredited investors,” as defined under the U.S. Securities Act of 1933.
 Investment in the Funds are offered to eligible investors by means of a private placement memorandum
 and requires a minimum investment of $1,000,000 to invest in the HQC Fund, and a minimum investment
 of $2,000,000 to invest in the LFFI Fund. However, the General Partners have the sole discretion to waive
 the minimum investment requirement.

 To open a separately managed account, clients must invest a minimum of $1,000,000. However, we have
 the discretion to waive the minimum investment requirement in our sole discretion.