Patient Capital Management LLC

ITEM 5. FEES AND COMPENSATION

The Firm charges its private funds a management fee on a quarterly basis in
advance, as specified in the applicable offering documents. The management fee
generally will not exceed 0.75% (annually) of the assets under management of
the relevant fund. In addition, investors in the private funds typically pay a
performance-based allocation to the general partner of the fund. Lower
management fees may also be available for different classes of interest that agree
to longer lock-up periods or that pay different performance-based allocations to
the general partner of the fund. When management fees are paid in advance by a
fund, no part of the management fee will be refunded in the event an investor in
the fund withdraws, whether voluntarily or involuntarily, all or any portion of
the fund investment.

The Firm will generally charge separate account clients fees that are similar to
those charged to its private fund investors. Separate account clients will typically
pay advisory fees based on a percentage of assets in their account(s). Fees may be
negotiated depending on the particular circumstances of the client, scope of
services provided, size of account(s), service levels, reporting and other
arrangements, as agreed with specific clients. In those instances, a client may pay
more or less than the fees charged to private fund investors, and more or less
than similar clients. All management fees and performance-based compensation
are calculated pursuant to the governing documents of the relevant fund or
investment management agreement of the relevant separate account client.

All clients/investors incur third-party brokerage commissions and other
transaction costs, as explained in further detail in the Brokerage Practices section
below. Additional third-party costs related mainly to custody, audit,

administration, legal advice, tax advice and preparation, banking services, and
research and consulting may also apply for clients/investors. In all cases, details
concerning applicable fees and expenses are set forth in each respective client’s
investment management agreement or relevant private placement
memorandum.

Alternative Fee Arrangements
The Firm may, in its discretion, consider and negotiate fee arrangements that are
different from those described above.

No Compensation from the Sale of Securities
Neither the Firm nor any of its personnel accepts compensation for the sale of
securities or other investment products.

ITEM 7. TYPES OF CLIENTS

As discussed in the Advisory Business section above, the Firm provides
discretionary investment management services to a mutual fund, a private fund,
individuals, institutions, and other private clients. The Firm also provides model
investment portfolios to other financial firms that may implement these
portfolios for their client accounts. The Firm may also offer investment
management services to sophisticated investors on a discretionary basis through
separately managed accounts. Although the Firm generally seeks minimum

account commitments from its investors/clients of US$ 1,000,000, it can waive
such minimums in its discretion. Minimums for separate accounts will be
negotiated with such clients.