Quadra Gestao de Recursos Sa

Item 5: Fees & Compensation
    A. ADVISORY FEES AND COMPENSATION

Quadra Capital will receive an asset-based management fee from the clients. The fees applicable to each
client are set forth in detail in each client’s governing documents and investment management
agreement. The fees applicable to each separately managed account are set forth in detail in each
separately managed account’s investment management agreement.

Generally, the investment management agreements are subject to termination upon receipt by either
party from the other of prior written notice of termination and after the expiration of the specified notice
period. The clients will be entitled to any unearned prepaid portion of the Management Fee to the extent
applicable.

Fees for separately managed account generally do not include brokerage commissions, transaction fees,
and other related costs and expenses which will be incurred by the client. Clients will incur certain charges
imposed by custodians and brokers, such as custodial fees, odd-lot differentials, transfer taxes, wire
transfer and electronic fund fees, and other fees and taxes on brokerage accounts and securities
transactions. Quadra Capital does not receive any portion of these commissions, fees, and costs.

    B. PAYMENT OF FEES

Fees and compensation paid to the Investment Adviser by the clients are generally deducted from the
assets of such clients.

    C. EXPENSES

Each client bears its own expenses, including, without limitation, the Management Fee; the performance
compensation, organizational expenses (including organizational expenses related to vehicles formed for
the purpose of pursuing investments), investment-related expenses and other expenses, as set forth in
the governing documents and investment management agreements of each client.

With respect to the Managed Account, the Adviser will not be paid or reimbursed for any expenses, except
to the extent such expenses are itemized in detail and expressly authorized by the Managed Account in
writing. The Managed Account shall bear (or shall reimburse the Adviser for) (i) all investment-related
expenses incurred on behalf of the Managed Account (e.g., expenses related to the investment of the
Assets (as defined in the Investment Management Agreement), such as brokerage commissions, expenses
related to short sales, clearing and settlement charges, bank service fees, custodial fees, interest
expenses, costs and expenses related to currency exchange, costs and expenses related to currency
hedging (if any), investment-related regulatory filings the extent required (including, without limitation,
Sections 13(d), (f) and (g) and Section 16(a) of the exchange Act, the CEA and the U.S. Hart-Scott-Rodino
Act or similar filings under Brazilian laws) and extra-ordinary investment-related expenses and other
similar expenses, including investment-related litigation expenses), (ii) the Management Fee and the
Performance Fee (as defined in the Investment Management Agreement), and (iii) the pro rata share of
expenses incurred, on behalf of the Managed Account and other client (if any), expenses relating to
consultants, attorneys, brokers or other professionals or advisors who provide research, advice or due
diligence services with regard to investments, appraisal fees and expenses, investment banking expenses,
research-related expenses (including lodging and meal expenses) incurred by third-party professionals not
an Affiliate of the Adviser (as defined in the Investment Management Agreement). The Managed Account
will also bear its organizational and operating expenses and the Brazilian Investment Vehicle (including
the fees of the administrator of the Managed Account and the administrator of the FIDC-NP and related
costs).

    D. ADDITIONAL COMPENSATION AND CONFLICTS OF INTEREST

Neither the Investment Adviser nor any of its supervised persons accepts compensation (e.g., brokerage
commissions) for the sale of securities or other investment products.

Item 7: Types of Clients
We provide investment advice to investment funds, as described above in Item 4.B of this Brochure.

We will provide investment advice to the Managed Account, as described above in Item 4.B of this
Brochure.