Notice to the Market

In line with best corporate governance practices, BHG S.A. - Brazil Hospitality Group ("BHG" or "Company") hereby informs its shareholders and the market in general that it was credited today, in an account held by a Company subsidiary, with the total amount of the court deposit made by BHG at the beginning of the dispute related to Nova Riotel Empreendimentos Hoteleiros Ltda. for the acquisition of Hotel Rio Palace.

The total amount returning to the Company's cash position is R$205.4 million, including legal additions, approximately R$72.2 million of which will be allocated to settle the loan taken out with the bank for the acquisition of the hotel.

As a result, the remaining balance of R$133.2 million will be allocated to strengthen the Company's cash position, contributing to its strategic planning and new investments in the business tourism segment in regions with high level of economic activity.

Click here to access the full document

Rio de Janeiro, July 28, 2014

Luiz Felipe Negreiros de Sá

Chief Financial and Investor Relations Officer
BHG S.A. - BRAZIL HOSPITALITY GROUP

distributed by