Peregrine Asset Advisers Inc

Item 5 – Fees and Compensation

A. Annual Management Fees

Peregrine

Maximum annual fees for portfolio management are calculated as a percentage of account values
and deducted quarterly.

       Peregrine Managed Accounts                     1.00 %

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Management fees are charged in arrears and assessed quarterly based on the quarter-end value of
the account, adjusted for cash flows. The management fee is deducted from the account after it is
incurred unless our client has requested an invoice.

The management fee does not include brokerage fees, or any additional fees charged by brokers
or incurred by our clients. PAA does not receive any portion of the brokerage commissions as
compensation.

The annual management fee is negotiable. The range of negotiated fees is based on assets under
management ranging from 1.00% down to zero. PAA accepts some accounts where no
management fee is charged. These zero rate accounts require minimal ongoing and continuous
management by PAA and will usually contain only static security holdings or non-risk cash
balances.

The above fee schedule is included in the written Investment Advisory Agreement between PAA
and our clients. Each party may terminate the IA agreement upon 30 days written, electronic, or
verbal notice.

PAA offers business consulting services for a negotiated fee as to general financial trends. Any
of these written opinions are for the client's use only and not for general circulation.

Northline

Northline’s fees for services are based upon a percentage of assets under management and range
from 0.15% to 1.50%. Fees are negotiable and billed quarterly, in advance, at the beginning of
each calendar quarter based upon the value of the client’s account at the end of the previous
quarter.

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Fees will be debited from the account in accordance with the client authorization in the
investment advisory agreement. Fees are pro-rated for new and terminating accounts based on
the number of days that the account was open during the quarter. Northline will also charge a
non-refundable $100 annual account service fee, which is separate from the advisory fee.

Northline also joins with Fidelity Investments to oversee participant 401k retirement accounts.
A fee of 0.50% per year is collected on these accounts.

All advisory and account service fees are detailed in the client Investment Advisory Agreement.
We do not charge a prepayment of advisory fees for more than one quarter in advance. Advisory
contracts may be terminated within 5 business days, without penalty.

Client facts, circumstances, and needs are considered in determining the fee schedule. These
include the complexity of the client, assets to be placed under management, anticipated future
additional assets, related accounts, portfolio style, account composition, reports, among other
factors.

Strategy

Maximum annual fees for portfolio management and investment advisory services are calculated

as a percentage of account values and deducted quarterly.

           Equity Portfolios: 0.90%

           Balanced Portfolios: 0.85%

Management fees are charged in arrears and assessed quarterly based on the quarter-end value of

the account, adjusted for cash flows. The management fee is deducted from the account after it is

incurred unless our client has requested an invoice.

Strategy fees for services are based upon a percentage of assets under management and range

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from 0.90% down to zero. Strategy accepts some accounts where no management fee is charged.

These zero rate accounts require minimal ongoing and continuous management by Strategy and

will usually contain only static security holdings, such as cash and/or cash equivalents. Fees are

negotiable and billed quarterly, in arrears, at the end of each calendar quarter based upon the

value of the client’s account at the end of the quarter.

The above fee schedule is included in the written Investment Advisory Agreement between

Strategy and our clients. Each party may terminate the IA agreement upon 30 days written

notice.

B. Brokerage Fees

Fidelity and Schwab extend free brokerage fees for clients that agree to receive their documents
via electronic delivery. Clients opting out of this method of delivery will pay brokerage fees as
high as $4.95 per trade. Since PAA is an active manager, these costs can add up to be a
considerable amount, over a year for any client not enrolled in electronic delivery. These are
costs that clients are responsible for and separate from the fees charged by the Adviser. See Item

Item 7 – Types of Clients

The Adviser’s clients are individuals, families, businesses, and organizations. Some of our
clients are high net-worth people. The accounts managed include brokerage accounts, individual
retirement accounts, trusts, business organizations, and pension and profit-sharing plans.

Peregrine

PAA requests a minimum of $100,000 per client relationship, although it is not required at the
outset of a new relationship. PAA can waive the minimum on a case-by-case basis, and can
decline to take any new account.

Northline

Northline does not impose a minimum dollar value of assets or other conditions for opening or
maintaining an acount.

Strategy

Strategy does not impose a minimum dollar value of assets or other conditions for opening or
maintaining an account.

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