Selway Asset Management Inc

Item 5 - Fees and Compensation

SAM is compensated for their services by receiving a fee based on a percentage of the fair
market value of assets under management. The value of the assets will be based on the last
business day of each calendar quarter. The fees are payable in advance at the beginning of each
calendar quarter. Clients may elect to be billed directly for fees or to authorize SAM to directly
debit fees from client accounts. The current standard annual fees for investment management
services are as follows:

               Portfolio Market Value                Management Fee

               First $1,000,000                      1.00%
               Next $1,000,000                       0.75%
               Over $2,000,000                       0.60%

Fees may be waived or reduced for certain family or affiliated accounts. We reserve the right,
under certain circumstances, to negotiate fees. Accounts initiated during a calendar quarter may
be charged a prorated fee based on the number of days in the quarter the client is under
management. Unless otherwise agreed to in writing, the fee shall be applicable to cash and cash
equivalents. The fee schedule may be amended by SAM, in which case the client will receive
thirty (30) days prior written notice. SAM may terminate the advisory contract upon written
notice to client. The client may terminate the advisory contract upon written, or oral notice, or
simply via initiating transfer of their account. In the event of termination, any unearned portion
of the paid quarterly fee will be refunded.

SAM's fees are exclusive of brokerage commissions, transaction fees, and other related costs and
expenses which shall be incurred by the client. Mutual funds and exchange traded funds may
also charge internal management fees, which are disclosed in a fund's prospectus. Such charges,
fees and commissions are exclusive of and in addition to SAM's fee and SAM shall not receive
any portion of these commissions, fees, and costs.

Item 7 - Types of Clients

SAM provides portfolio management services to individuals, high net worth individuals, IRAs,
pension and profit sharing plans, charitable institutions, estates, trusts, foundations and
corporations. Our minimum required account size is $500,000. However, we do reserve the
right to consider accounts of lesser size.