Two Point Capital Management Inc

Item 5    Fees and Compensation

A. Two Point Capital Management is compensated for our services by collecting a fee that is based on a percentage of
client assets under our management.

Our fee schedule is:

1.00% of assets for client assets under $1 million
0.75% of assets for assets between$1 million and $10 million
Negotiable rates for managed assets in excess of $10 million

B. Fees are deducted from clients accounts on a quarterly basis in advance, at the start of each quarter and are based
on the market value of each account at the end of the preceding quarter.

C. Two Point Capital Management only receives the fees outlined above. Clients will pay for the transaction fees
charged to buy and sell securities on their behalf. Two Point Capital Management is not a brokerage firm and does not
receive any portion of these transaction related fees. Custodians might also charge an annual custodial fee.

D. Management fees are paid quarterly in advance. In the event that an account is terminated in writing, refunds are
prorated based the number of full months that remain in the quarter after the written notice of termination has been
received.

E. Two Point Capital Management and its employees do not receive any compensation for the sale of securities or
other investment products.

Item 7        Types of Clients

Two Point Capital Management is available to provide our investment advisory service to individuals, trusts,
not-for-profit organizations, companies, or pension plans.

Our firm is focused on establishing long-term relationships with our clients and therefore require an initial investment
that reflects a significant commitment to a long-term relationship. Generally, this means a minimum relationship of
$1,000,000 or more.