New Line Capital LLC

5. Fees and Compensation
    The basic fee schedule, which is negotiable, is:

               Assets under Management per                   Fee Rate
                        Household

                    Less than $500,000                        1.50%
                   $500,001 - $1,000,000                      1.25%
                   $1,000,001 and above                       1.00%

     Fees quoted are annual and charged quarterly in advance, although with the client
and the adviser’s consent, fees may be charged in arrears. We also typically charge a
minimum annual fee of $10,000, though this minimum may also be negotiable at our
discretion. At inception, an initial partial calendar quarter and the next full calendar
quarter fees may be charged. After the first full quarter’s fees are paid, subsequent
quarterly fees may reflect a proportional amount of the $10,000 minimum annual fee.

      New Line Capital, LLC may also offer management services for 401k plans and other
retirement plans. Any advisory services offered to these plans will have a fee negotiated
between New Line and the plan and its sponsor. The fee will be entered into the Advisory
Agreement for the Plan, when the fee amount is specified, and the agreement signed. A

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separate advisory agreement will be available to these plans from the agreement signed
by other non-plan advisory clients.

      Services may be offered in connection with advising you on matters not involving
your managed assets or securities. This is not a Financial Planning service. The charge for
this consultation is $250 per hour plus expenses, if any, with a minimum retainer of six
hours per quarter. There are no Financial Planning agreements. Any consulting service
fees are in addition to any Investment Advisory Management fees.

      You may terminate the advisory relationship at any time by submitting written
notice. If we receive notice of termination within five business days of the signing of the
advisory agreement, services will be terminated without penalty (i.e., no fees are due, and
any fees already paid will be returned to you). After the initial five business days, fees
will be due, based on the number of days of services were provided prior to receipt of
such notice. Unearned fees will be reimbursed on a pro rata basis. Termination of services
will not affect the liabilities or obligations of the parties arising out of transactions
initiated prior to termination. All written notices of termination under the advisory
agreement shall be delivered by hand, first class mail, e-mail, facsimile transmission, or
by certified mail to the addresses set forth in the advisory agreement.

      Lower fees for comparable services may be available from other sources.

      We never take custody of client funds or securities, except for deducting fees directly
from your custodial accounts with prior client permission. All client funds and securities
are held by a qualified and independent custodian. In addition to our fees, your assets
may be subject to custodial fees, transaction fees, and mutual funds fees such as “l2b-1”
fees. We do not share in any portion of the brokerage fees/transaction charges, custodial,
or trust fees imposed by any custodian. You may at your option purchase investment
products through other brokers or agents that are not affiliated with us.

      New Line Capital, LLC does not participate in or sponsor any wrap fee products.

7. Types of Clients
      We provide investment advisory services primarily to individuals and their trusts
and estates, and to charitable organizations. We also provide advice to businesses as well
as to pension and profit-sharing plans. We have a minimum investment per household
of $1 million. This may, however, be negotiated at our discretion.

8. Method of Analysis, Investment Strategies and Risk of Loss
     We employ a number of different security analysis methods including fundamental,
charting, and technical and cyclical analysis. Our main sources of information include
research materials prepared by others and financial publications. We use corporate rating
and timing services, and we also may review Annual Reports, prospectuses, SEC filings,
and company press releases. We may review companies’ financial statements,
management, competitors and markets. We also consider the industry, economy, political
and competitive advantages of investments. We advise on a number of types of
investments including exchange-listed securities, over-the-counter securities, foreign
issuer securities, warrants, corporate debt securities, commercial paper, certificates of
deposit, municipal securities, mutual fund shares, options for hedging purposes, U.S.
government securities, publicly traded partnership interests in real estate and oil and gas,
Rule 144 transactions, and 10b5-1 plans. We may advise clients on any other type of
investment deemed appropriate based on the client’s stated goals and objectives.

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     Our investment strategies are based upon your stated objectives. We may use any
of the following investment approaches to implement our investment advice: long-term
purchases (securities held at least a year), short-term purchases (securities sold within a
year), trading (securities sold within 30 days), and short sales. We also conduct option
trading and engage in margin transactions for appropriate clients.

      All investments bear risk. Therefore, you must understand that investing involves
the risk of reduction in value of their portfolio, including the possible loss of principal.
The actual total return and principal value will fluctuate so that the account values, when
redeemed, may be worth more or less than their original cost. We do not generally
structure portfolios to avoid short-term losses in net assets due to short-term fluctuations
in the financial markets. We do not and cannot control markets nor can we prevent short-
term fluctuations in security values.

      Option trading involves a risk of losing an entire investment in a short amount of
time so is not appropriate for all investors. You should be aware that short term purchases
and frequent trading may result in increased brokerage fees and increased trading costs
and taxes. Short sales also have the risk of large losses. Investing in any security involves
risk that you must be prepared to bear.