Natural Capital Management LLC

Item 5 – Fees and Compensation

Natural Capital and its affiliated General Partners receive fees and compensation in exchange for
advisory services provided to the Funds, including management fees, carried interest, additional
compensation in connection with management services performed for the portfolio investments of
the Funds and reimbursements from portfolio investments for certain expenses advanced on their
behalf. The Funds are also responsible for bearing certain expenses as detailed below and in each
Fund’s Governing Documents. Differences exist from Fund to Fund, and certain Funds do not
charge certain fees, compensation or expenses that other Funds charge or charge them in different
amounts. The following is a general description of fees, compensation and expenses of the Funds.
Limited partners should refer to the Governing Documents of the applicable Fund for a complete
understanding of how Natural Capital is compensated for its advisory services; the information
contained herein is a summary only and is qualified in its entirety by such documents.

Management Fees

Natural Capital charges each Fund a management fee (the “Management Fee”). Fund I limited
partners are charged a Management Fee, pro rata, equal to 1% per annum of the amount of Fund I’s
invested capital in private fund investments plus 2% per annum of the amount of all other invested
capital of the partnership. Fund II limited partners are charged Management Fees, pro rata, at an initial
rate of 2% per annum of the aggregate subscriptions of all limited partners from the initial Fund II
closing date through the 5th anniversary of the same. The Fund II Management Fees are then charged
at a rate of 1.5% per annum of the Funds’ actively invested capital during years six through eight and
1% per annum of the Fund’s actively invested capital during years nine though ten. Thereafter no
Management Fees are payable without the consent of a majority in interest of the Fund II limited
partners or the advisory committee. Drake Farms Fund limited partners are charged Management
Fees, pro rata, at a rate of 1% per annum of the net asset value of the Fund (including the value of the
Fund’s portfolio investments and uncalled capital commitments).

The amount of Management Fees for Fund I and Fund II generally will not correspond with
fluctuations in a Fund’s net asset value, including following the stepdown date, and will not be reduced
in connection with any write downs, except in the case of investments written off as worthless.

Assessed quarterly in advance, Management Fees are collected through a capital call, through a draw-
down on the Fund’s line of credit or offset against a distribution to limited partners. All Management
Fees were negotiated with limited partners during the fundraising period of the applicable Fund and
are not subject to negotiation thereafter. Generally, limited partners participating in a subsequent
closing after the initial closing of a Fund are responsible for paying the Management Fee as of the date
of the initial closing of such Fund, plus interest, as applicable. In addition, Management Fees are
payable during term extensions unless otherwise notified to limited partners.

The General Partners are permitted, in their sole discretion, to reduce or waive all or a portion of the
Management Fee. Management Fees can differ from one Fund to another as well as among limited

partners in the same Fund. Such differences arise from the size of a limited partner’s commitment to
a Fund, provisions of side letter agreements or other negotiated terms. Management Fees are generally
waived for Natural Capital employees investing in a Fund through a General Partner and for affiliates
(although these limited partners generally pay their pro rata share of certain Fund expenses). Similarly,
Management Fees are generally waived for limited partners in a Co-Investment Fund on the co-
investment portion of their investment (although such co-investors generally pay Management Fees
on the main Fund portion of their investment, if applicable, and pay their pro rata share of certain
expenses as described more fully below).

Management Fees will generally be reduced by certain supplemental fees and compensation with
respect to portfolio investments, including director’s fees, consulting fees, commitment fees,
monitoring fees, transaction fees or break-up fees (but not, for the avoidance of doubt, any investment
banking or similar fees), including proceeds from the disposition of any stock options, warrants or
other equity securities) (together, “Portfolio Fees”). The receipt of such Portfolio Fees will be offset
against the Management Fee paid by a Fund by 50%, subject to proration if such remuneration is paid
by a portfolio investment in which another Fund also has an investment.

To the extent that an offset credit would reduce a Fund’s Management Fee for a given quarter below
zero, the credit will be carried forward for future application against payable Management Fees. If a
credit remains upon dissolution, a payment will be made to limited partners that have not elected to
waive such amount for tax or other reasons.

Carried Interest

The General Partners for Fund I and Fund II are entitled to be allocated carried interest (“Carried
Interest”) with respect to their respective affiliated Funds, which is generally equal to 20% of all
realized profits net of all expenses in excess of an 8% annual preferred return. Carried Interest is
further described in full detail in the relevant Fund’s Governing Documents and more briefly in Item
6, below. The General Partner for Drake Farms Fund is entitled to be allocated Carried Interest up
to 20% of realized profits (net of all expenses), subject to a 2x deal-level return hurdle applicable until
100% return of cost basis to investors.

Fund Expenses

Each Fund is governed by its own Governing Documents, which detail a description of expenses for
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Item 7 – Types of Clients

Natural Capital provides investment advice to its Funds, which are exempt from registration under
the Investment Company Act of 1940, as amended, and the rules and regulations promulgated
thereunder (the “Investment Company Act”). The Funds limit their respective limited partners to:
(i) “accredited investors” as defined in the Securities Act of 1933 and (ii) “qualified clients,” as defined
in the Advisers Act. Limited partners in the Funds must also meet certain other suitability
qualifications prior to making an investment in a Fund. The Funds are not registered or required
to be registered under the Investment Company Act, their securities are not made available to the
general public, their securities are not registered or required to be registered under the Securities Act
of 1933 and Fund interests are privately placed to qualified investors. Qualified investors include
individuals or entities to which Fund interests are permitted to be sold, which generally includes (i) in
the United States, people or organizations who meet certain net worth, income and/or financial
sophistication requirements as described above or (ii) in other countries, as permitted by the relevant
securities laws in such jurisdiction and in compliance with any foreign offering provisions applicable
to Natural Capital and/or the Funds. The Funds typically require capital commitments from each
limited partner of at least $500,000, although the applicable Fund’s General Partner has, in its sole
discretion, accepted lesser amounts.

The limited partners participating in the Funds include high net worth individuals, family offices, trusts
and other investment entities and typically include, directly or indirectly, principals or other employees
of Natural Capital and its affiliates and members of their families.

On occasion, Natural Capital offers co-investment opportunities for certain limited partners to invest
alongside a Fund in certain Fund portfolio investments. Opportunities to participate in co-investment
transactions arise when Natural Capital has the opportunity for an investment in an existing or
prospective portfolio investment and Natural Capital determines that (i) an investment requires
additional capital, (ii) all or a portion of the applicable opportunity is not required to be offered to a
Fund, (iii) the full investment opportunity is not appropriate for a Fund, whether due to concentration
restrictions contained in the Fund’s Governing Documents or otherwise or (iv) Natural Capital
believes the Fund will benefit from the participation of the co-investor(s). Such determinations are

based on the provisions of the applicable Governing Documents (which specify minimum limited
partner commitment thresholds to be considered for co-investment), side letter agreements,
agreements with lenders and such other factors as Natural Capital will consider in its sole discretion,
including those specified in its policies on investment allocation and co-investments. Subject to any
restrictions contained in the Governing Documents of the relevant Fund or any side letter or other
terms negotiated with respect to a Fund, in general no limited partner has a right to participate in any
co-investment opportunity. Natural Capital’s exercise of discretion in allocating co-investment
opportunities will not always result in proportional allocations among co-investors and such
allocations can be more or less advantageous to some co-investors relative to other co-investors.
When co-investment opportunities are permitted, it is possible that the size of the investment
opportunity otherwise available to the Fund will be less than it would otherwise have been without
the inclusion of co-investors.

While one or more limited partners in the Funds are on occasion invited to co-invest in a Fund’s
portfolio investments, Natural Capital is authorized in its sole discretion to offer any or all of a co-
investment opportunity to investors that are not limited partners in the Funds. Co-investment
opportunities are made available to select Fund limited partners and third parties, including, without
limitation, management or founders of the applicable portfolio investment, co-sponsors, strategic
investors, lenders, investment bankers, deal sources (including finders and consultants), other
sponsors (including other private equity or venture capital firms), joint venture partners, service
providers, sector experts, strategic advisors, other persons or entities affiliated, associated or otherwise
known to Natural Capital or its personnel. Certain service providers, including lenders and individuals
who source transactions can negotiate co-investment rights or co-investment priority rights as a
component of their compensation in connection with the services provided. In certain cases,
determinations to allocate such amounts or investment opportunities to vendors or service providers
will be made prior to the determination of the availability of opportunity for other co-investors, and
as such generally will decrease the amount of co-investment opportunities available.

Although co-investments typically involve investment and disposal of interests in the applicable
portfolio investment at substantially the same time and on substantially the same terms as the Fund
making the investment, co-investors are generally subject to different economic terms than the Fund.
From time to time, for strategic and other reasons, a co-investor or Co-Investment Fund purchases a
portion of an investment from a Fund after such Fund has consummated its investment in the
portfolio investment (also known as a post-closing sell-down or transfer). Post-closing sell-downs are
generally funded through the Fund’s limited partner capital contributions and/or use of a Fund credit
facility. Any such purchase from a Fund by a co-investor or Co-Investment Fund generally occurs
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