South Street Advisors LLC

Item 5—Fees and Compensation

    We receive an advisory fee based on a percentage of our clients’ assets under
    management. This fee is graduated and declines as the value of the portfolio increases,
    as follows:

      •   1.00% per annum on the first $5 million;

      •   0.75% per annum on the next $5 million;

      •   0.50% per annum per annum on the excess over $10 million.
    This is the only compensation that we receive for our services. Our fees are negotiable;
    however, South Street Advisors will determine whether related or affiliated client
    accounts (or “householding”) will be aggregated for billing purposes on a case-by-case
    basis. Our clients have the choice of having advisory fees deducted from their portfolios
    or billed to them and paid by check or wire transfer.
    Our clients currently use both methods. Most clients are billed fees quarterly in
    advance, but several clients opt to pay fees quarterly in arrears.

    Our clients pay third-party fees for custody and brokerage. Custody fees vary
    depending upon the custodian. Brokerage commissions for equity securities range
    between zero and eight cents per share, depending on the broker- dealer. One custodian
    that is typically used for our clients assesses no transaction fee.

    SSA or the client may terminate the Advisory Agreement at any time upon written notice,
    which shall be effective when received by the other party. In the event of such
    termination, fees shall be pro rated on a daily basis and any portion of any prepaid fees
    shall be refunded to the client by the Adviser within 10 days of the termination of this
    Agreement.

Item 7—Types of Clients

    South Street Advisors provides investment advice to a variety of clients, both individuals
    and institutions. Individual accounts form the highest percentage of our assets under
    management, followed by U.S. non-profit endowments and private foundations.
    Our minimum account size is U.S. $1,000,000. We reserve the right to change or waive
    our established minimum account size.