Solus Alternative Asset Management LP

ITEM 5 - FEES AND COMPENSATION

A.     Advisory Fees and Compensation

      The fees applicable to each Fund are set forth in detail in each Fund’s relevant
Confidential Memorandum, any applicable supplement thereto and/or the Fund’s governing
documents. Any fees applicable to a Managed Account will generally be set forth in each
Managed Account’s investment management agreement. Solus’ compensation may differ
among and within Clients based upon multiple factors including, without limitation, the
complexity of the investment vehicle, account size and other terms of the Client’s share classes.

        Although a brief summary of certain Fund fees is provided below, please note that such
brief summary is not a substitute for the detailed terms provided in each Fund’s applicable
Confidential Memorandum, any supplement thereto and/or governing documents. Fund
investors/prospective investors are thus strongly urged to closely review such documents for
information with respect to management fee and performance compensation terms.

       1.      Management Fees; Performance Compensation

       Any management fee paid to Solus shall be referred to herein as a “Management Fee”.
Any incentive allocation or carried interest made to a Solus affiliate shall be referred to herein as
an “Incentive Allocation” or “Carried Interest”, respectively.

       Management Fees

       Hedge Funds:

        With respect to the generally available classes of Solus 2 LLC and Sola I 2 (i.e., Class NL
Interests and Class NL Shares), such funds will generally pay to Solus (or any other person or
entity designated by it) a monthly fixed asset-based fee in arrears, of 1.25% per annum, of net
asset value as of the last business day of the month for which such Management Fee applies,
before giving effect to any withdrawals occurring as of such day. Solely for investors who
subscribed to Class NL Interests or Class NL Shares on or prior to 12/01/21, these funds
exercised a one-time ability to designate certain investments as special investments as of
12/31/21. No management fee will be charged on any such special investments, and any profits
or losses attributable to a special investment will be taken into consideration solely for such
investors in their Class NL Interests and Class NL Shares only upon the realization or deemed
realization of such special investment. Management Fees can vary and be lower for certain
investors depending on, among other things, the amount of assets a particular investor has under
management with Solus.

       In the case of a redemption by an investor other than as of the last day of a month, a pro
rata portion of the Management Fee (based on the actual number of days from the beginning of
the month) will be paid to Solus. Solus may elect to reduce, waive or calculate differently the
Management Fee with respect to any investor in the Hedge Funds, including, without limitation,
an investor that is a partner or former partner, affiliate or employee of Solus, members of the
immediate families of such persons, and trusts or other entities for their benefit, without the
approval of any other investors.

       Long-Term Opportunities Funds:

        Evergreen Class: With respect to the generally available classes, Evergreen Class will
generally pay to Solus (or any other person or entity designated by it) a monthly fixed asset-
based fee in arrears, of 0.125% (or 1.5% annualized) of net asset value (subject to certain
adjustments set forth in detail in the applicable Confidential Memorandum which investors and
prospective investors should carefully review) as of the last business day of the month for which
such Management Fee applies, before giving effect to distributions, if any, occurring as of such
day. Management Fees can vary and be lower for certain investors depending on, among other
things, the amount of assets a particular investor has under management with Solus.

        LTO Class: With respect to what were the generally available classes, LTO Class will
generally accrue (or any other person or entity designated by it) a monthly fixed asset-based fee
in arrears (but payable at the end of each calendar quarter), of 0.125% (or 1.5% annualized) of
the lesser of (x) capital commitment and (y) net asset value (subject to certain adjustments set
forth in detail in the applicable Confidential Memorandum which investors and prospective
investors should carefully review) as of the last business day of the month for which such
Management Fee applies, before giving effect to distributions, if any, occurring as of such day.
Management Fees can vary and be lower for certain investors depending on, among other things,
the amount of assets a particular investor has under management with Solus.

        To the extent that a Long-Term Opportunities Fund’s term ends on a date that is not a
month-end, the Management Fee for such month will be pro-rated based on the number of days
in the relevant period.

        Solus may, in its sole discretion, reduce, waive or calculate differently the Management
Fee with respect to investors in the Long-Term Opportunities Funds, including, without
limitation, those that are affiliates, employees, members, partners or former partners of Solus
Long-Term Opportunities GP LLC or Solus, members of the immediate families of such persons,
trusts or other entities for their benefit.

       Incentive Allocation; Carried Interest

         Domestic Hedge Funds: With respect to the generally available classes of Solus 2 LLC
(i.e., Class NL Interests), at the end of each fiscal year, Solus NL GP LLC is generally entitled to
an Incentive Allocation of 20% of the net capital appreciation (which includes both realized
gains and losses and unrealized appreciation and depreciation of financial instruments held in the
fund’s portfolio) allocated to Solus NL GP LLC’s capital account from an investor’s capital
...

ITEM 7 - TYPES OF CLIENTS

       Solus generally provides investment advice to privately offered Funds that are formed for
the purpose of investment and are exempt from registration as investment companies pursuant to
§3(c)(7) of the Company Act. Solus also advises Managed Accounts.

       The minimum initial investment amount in Solus’ Funds generally accept ranges from
$100,000 to $10 million. Exceptions to such minimum investment requirements may generally
be made at the sole discretion of Solus or its affiliates and/or the boards of directors of certain
Funds to the extent permitted under applicable law. Additionally, Solus requires that all U.S.
investors in Solus’ Funds be “accredited investors” and “qualified purchasers” or
“knowledgeable employees,” as each is defined under U.S. federal securities laws.