Villanova Investment Management Company LLC

ITEM 5. Fees and Compensation

VIMCO FOUNDERS FUND LP: The Private Fund will pay a quarterly management fee equal to 0.225%
(0.90% per annum) of Net Assets. The fee shall be payable quarterly in arrears within 10 days after the end
of each calendar quarter, and calculated on the Net Assets in each capital account as of the end of such
calendar quarter (without regard to subscriptions or withdrawals effected as of the end of such calendar
quarter) Investors in the Private Fund should refer to the offering documents for
additional/supplementary information regarding the various fees and charges associated with
investments in the Private Fund.

The calculated for the VIMCO Founders Fund LP management fee is

                        Month End Market Value * Annual Management Fee
Management Fee =                                                       *# of days in month
                                     365 days in the year
The VIMCO Founders Fund only accepts subscriptions on the first day of the month and redemptions
on the last day of the quarter.

INDIVIDUALLY MANAGED ACCOUNTS: VIMCO’s fee is calculated and payable in arrears as of the
last day of each calendar month and will be prorated for partial quarters based upon the calendar quarter
market value either as provided by the pricing agencies utilized by VIMCO or by the custodian when
mandated by contract. Management fees for managed accounts, which are individually negotiated, are
expected to range from 0.40% to 0.90% of the fair market value of the Managed Account assets on an
annual basis depending on (a) the client’s investment objective and investment strategy; (b) the size of
the account; (c) the amount of the client’s relationship assets under management; and (d) other factors.
Any significant contribution or withdrawal will be prorated based on the date the money was received
or withdrawn.

                        Quarter End Market Value * Annual Management Fee
 Management Fee =                                                                   *# of days in quarter
                                       365 days in the year

If a partial withdrawal were to occur mid quarter, we would calculate the fee based off the date and
amount of the withdrawal and add it to the management fee calculation above.

 Management Fee            Amount Withdrawn * Annual Management Fee
                 =                                                                 * # of days in the quarter
  for withdrawal                      365 days in the year

If a contribution were to occur mid quarter, we would calculate the fee based off the date and the amount
of the contribution and subtract it from the management fee calculation above.

  Management Fee         Amount Contributed * Annual Management Fee
                   =                                                             * # of days NOT in quarter
  for contribution                    365 days in the year

Fees are only deducted from the private fund and not from individually managed accounts. In individually
managed accounts, the client makes arrangements for the custodial account on how the fees will be
deducted whether it be electronic funds transfer, check, etc. In addition to VIMCO’s fees discussed above,
clients may incur transaction costs. See the section titled “Brokerage Practices” below.
VIMCO will provide Brochure Documents to all clients upon entering into an agreement. When a copy of
the Brochure Document(s) is not provided to the client at least 48 hours prior to signing the contract(s),
the client has five business days in which to cancel the contract, without penalty.

ITEM 7. Types of Clients

VIMCO seeks to provide investment supervisory services to a variety of clients whose types include, but
are not limited to: individuals, institutions, financial advisors, banks, or thrift institutions, investment
companies, pooled investment vehicles (both registered and not registered), pension and profit-sharing
plans, trusts, estates or charitable organizations and corporations or other business entities.

VIMCO Founders Fund LP: Interest in, or units issued by the Private Fund are limited to “qualified
purchasers” as defined in Section 2(a)(51)(A) of the Investment Company Act (“Qualified Purchasers”)
and to “knowledgeable employees” as defined in Rule 3c-5 under the Investment Company Act
(“Knowledgeable Employees”). In addition to being Qualified Purchasers, investors must also be
“accredited investors” within the meaning of Regulation D under the Securities Act of 1933, as amended
(the “Securities Act”) with whom the Private Fund or any person acting on its behalf has a substantial
pre-existing relationship. More detailed information regarding the qualifications for investing in the
Private Funds is found in each Fund’s subscription materials.
The minimum investment for the Private Fund is:

                                                                Initial
                            Fund Name                           Investment

                            VIMCO Founders Fund LP              $250,000

Individually Managed Accounts: VIMCO requires a minimum investment of $5,000,000 for a separate
account, which may be waived in certain circumstances.