Material Fact – Segment Migration

Material Fact

São Paulo, July 18, 2016. Contax Participações S.A. (“Contax” or “Company”, CTAX3), pursuant to paragraph 4 of article 157 of Law 6404/76 (“Corporation Law”) and CVM Instruction 358/02, and complementing the Material Facts published on March 13, April 20 and May 25, 2016, hereby informs its shareholders, investors and the market in general that, on this date, BM&FBOVESPA S.A. – Securities, Commodities and Futures Exchange (“BM&FBOVESPA”) concluded its analysis of the Company’s migration to the BM&FBOVESPA’s special Novo Mercado listing segment and the Company’s shares will be traded in this segment as of July 21, 2016.

All the alterations to the Company’s Bylaws in order to align them with the minimum clauses of the BM&FBOVESPA’s Novo Mercado Listing Regulations, as approved by the Company’s Extraordinary Shareholders‘ Meeting held on April 20, 2016, will become effective as of this date.

The Company further declares that Contax’s current shareholders’ agreement ceased to be valid and have effects on this date, given verification of the circumstance envisaged in item (ii) of clause 16.1 of said agreement.

Cristiane Barretto Sales
Chief Financial and Investor Relations Officer