SV Health Investors LLC

FEES AND COMPENSATION

A.   Detailed information regarding the fees that are charged to the Funds is provided in the
     Offering Documents. SV is entitled to a management fee as compensation for its services,
     subject to the accrual schedule listed in each Fund’s Offering Documents. Generally, each
     Fund’s general partner is entitled to receive 20% of net profits of the Fund after committed
     capital is returned to limited partners, subject to the limitations and disclosures made in
     each Fund’s Offering Documents. Fees charged to co-investment and continuation
     vehicles will vary based on negotiations with limited partners and are outlined in each such
     vehicle’s Offering Documents.

B.   Management fees are payable by the Funds to SV or an affiliate of SV quarterly in advance
     and such fees are determined prior to the calculation or payment of any partner distribution.
     The management fee is paid first from each Fund’s cash flow, and next from the proceeds
     of a realization and then from any other cash funds available to any Fund. The management
     fee is accrued on a day-to-day basis, where adjustments for the admission of new limited
     partners or commitment increases are made pursuant to the schedule outlined in each
     Fund’s Offering Documents. The management fees payable by co-investment and
     continuation vehicles will vary based on negotiations with limited partners and are outlined
     in each such vehicle’s Offering Documents.

C.   A description of the other types of fees or expenses the Funds may pay is set forth in detail
     in each Fund’s Offering Documents. The fees and expenses each Fund is generally
     responsible for include, but are not limited to:

     (a)    All stamp duty, capital duty, registration fees or other similar duties and imposts
            payable from time to time on or in respect of the Offering Documents or the Fund;

     (b)    all stamp and other duties, all taxes or governmental charges (including non-
            recoverable value added tax), all brokerage fees, reasonable commissions, bank
            charges, transfer fees, registration fees, reasonable lawyers’ and accountants’ costs
            and expenses, reasonable agents’, consultants’, experts’ and other professional fees
            and expenses, including costs associated with any research or investigation, and
            any other reasonable duties, charges or fees incurred in connection with the
            partnership assets (or assets that are intended to become and do become part of the
            partnership assets) and any transactions related thereto;

     (c)    all third-party expenses incurred in the collection of cash flow and capital
            contributions or the disbursement of partner distributions;

     (d)    all expenses incurred in relation to the registration of any investment interests
            forming part of the partnership assets or the custody of the documents of title
            thereto (including bank charges, insurance of documents of title against loss in
            shipment, transit or otherwise, and charges made by agents of the general partners
            for retaining documents in safe custody);

(e)   all taxes payable by or on behalf of the Fund in respect of the holding of, or dealing
      with, investment interests or other investments of the Fund;

(f)   the reasonable remuneration and expenses of the auditors and other reasonable costs
      incurred in connection with the preparation of the financial statements;

(g)   the Fund’s proportionate share of any reasonable costs reimbursable to the advisory
      committee (the “Advisory Committee”);

(h)   the costs of maintaining records and books of account in relation to the business of
      the Fund;

(i)   any interest on borrowings and any reasonable expenses incurred in negotiating,
      entering into, effecting, maintaining, varying and terminating any borrowing or
      loan, guarantee, security or indemnity arrangements in pursuance of the exercise
      by the general partner of its rights and duties;

(j)   all reasonable costs and expenses incurred in relation to obtaining consents or
      convening and holding meetings of the limited partners;

(k)   generally, all costs and expenses of, and/or incidental to, the preparation of
      amendments to the Offering Documents;

(l)   all reasonable costs and expenses of, and/or incidental to, the preparation and
      dispatch to limited partners of all distributions, warrants, reports, circulars, forms
      and notices and any other documents necessary or desirable in connection with the
      business and administration of the Fund including the cost of any insurance
      premiums paid by the Fund in connection thereto;

(m)   all reasonable costs and expenses incurred as a result of termination of the Fund
      and the realization of investment interests and other Fund assets pursuant thereto;

(n)   any reasonable costs and expenses of any threatened or actual litigation involving
      the Fund and the amount of any judgement or settlement paid in connection
      therewith excluding however the costs and expenses of any litigation, judgement or
      settlement as to which the general partner is not entitled to indemnity;

(o)   any costs and expenses incurred in the preparation and filing of tax returns or
      providing tax information to the partners;

(p)   reasonable formation expenditures described in (and subject to the limitation set
      forth in) the Offering Documents;

(q)   indemnification payments and the cost of any insurance coverage acquired for the
      protection of the Fund or any relevant party against any liability incurred in any
      capacity which results in such person being a relevant party provided that such
      person is serving in such capacity at the request of the Fund or the general partner;
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TYPES OF CLIENTS

As described in Item 4 of this Brochure, SV provides investment advisory services to pooled
investment vehicles that operate as exempt investment companies pursuant to Sections 3(c)(1) and
3(c)(7) of the Investment Company Act. The Funds are limited to individuals and entities that meet
the criteria of “qualified purchasers” as defined in Section 2(a)(51)(A) under the Investment
Company Act.

Prospective investors should refer to the Offering Documents of the applicable Fund for complete
information on the minimum investment requirements for participation in such Fund. SV generally
requires a minimum capital commitment for each of its Funds; however, the Firm maintains
discretion to individually waive, increase or reduce the minimum investment required.

In addition, SV offers co-investment opportunities to investors in the Fund(s) and/or to third
parties. Participation in any transaction involving a Fund investment may only be extended to a
person or entity if the Fund believes their involvement would benefit the consummation or success
of the investment. In such situations, if co-investment opportunities are offered, the Firm will
ensure that its Fund(s) receive proper allocation before extending further investment opportunities
to existing limited partners and/or third parties.