Melody Capital Partners LP

Item 5 - Fees and Compensation

Our fees and compensation are described in the Funds’ Governing Documents. All the investors in the
Funds are “qualified purchasers” (as defined in Section 2(a)(51) of the Investment Company Act of 1940,
as amended (the “1940 Act”)) or “knowledgeable employees” as defined in Rule 3c-5 promulgated under
the 1940 Act.

In general, we are paid management fees from each Fund (or subsidiary thereof) quarterly in advance.
Management fees that are paid by a Fund are indirectly borne by investors in such Fund. Management fees
paid in advance are refundable if the relevant advisory contract is cancelled prior to the end of a payment
period. Management fees will be deducted from the Funds. The Governing Documents of each Fund
include a more detailed explanation of the amount and manner of calculation of the management fees for

 Melody Capital Partners, LP Form ADV: Part 2A                                                       Page 5

such Fund. The General Partner is also entitled to receive performance-based fees or allocations or carried
interest from each Fund, as further described in Item 6 – Performance-Based Fees and Side-By-Side
Management.

Each Fund bears its reasonable organizational and offering expenses. In addition, each Fund bears all
expenses relating to it to the extent not borne by its portfolio investments or expressly agreed to be borne
by us pursuant to the Governing Documents of such Fund. These expenses are described more fully in the
Governing Documents of the applicable Fund and may include investment related expenses (including
brokerage expenses, when applicable (See Item 12 “Brokerage Practices” below)), including such expenses
relating to certain subsidiaries; local and foreign taxes and fees; extraordinary expenses (including
litigation, indemnification and contribution expenses); accounting, auditing, consulting, filing, information
services and professional fees; auditing and tax preparation expenses related to the Fund; valuation and
administrative expenses; insurance expenses (including for directors’ and officers’ liability insurance); and
expenses relating to meetings of the Fund advisory board, independent fund representatives and/or investors
in the Fund, as applicable.

We internally perform the preponderance of the operational, accounting and information technology
services on behalf of the Funds, for which we will be reimbursed by the Funds. The Funds will bear their
allocable share of the cost (including employee salaries, bonuses, and fringe benefits) of such services,
software, or other assets.

We also perform, or utilize consultants or other firms to perform, asset management services with respect
to Fund investments, which services include, among other things, monitoring covenant compliance by
borrowers and other counterparties, monitoring the financial condition and other relevant operating data of
such borrowers and other counterparties and tracking and enforcing payment obligations and cash
payments. Each Fund will bear costs and expenses that are directly attributable to the salaries, bonuses and
fringe benefits payable to our asset management employees performing asset management services whose
work is provided solely to such Fund, in addition to the costs and expenses charged by consultants or other
firms to perform asset management services. In addition, each Fund bears the costs and expenses of
information systems, software and hardware utilized solely for such Fund in connection with asset
management.

Item 7 - Types of Clients

We provide investment advice to clients that are private funds. The Funds are structured as limited
partnerships or similar legal entities which we or our affiliates control. The Funds rely on rules promulgated
under the United States federal securities laws that exempt privately offered entities from registration as
investment companies. Investors in the Funds are generally institutional investors that qualify as
“accredited investors” (as defined in Rule 501 under the Securities Act of 1933, as amended) and “qualified
purchasers” (as defined under the 1940 Act) or “knowledgeable employees” (as defined under the 1940
Act). The minimum investment in the Funds was generally $5,000,000.