Cia Hering : Material Fact - Share buyback program renewal

Cia. Hering ("Company") hereby states that, pursuant to CVM Ordinance Nos. 358/02 and 10/80, and Law No. 6,404/76, as amended, at a meeting held on 07.27.2016, its Board of Directors unanimously approved:

1. Renewal of the Share Buyback Program of shares issued by the Company, to be held in Corporate Treasury then disposed of and/or terminated in order to cope with "Company Stock Option Buyout Plan";

2. Buyback amount shall be limited to 8,000,000 common shares of the Company, corresponding to 6.43% of the total of 124,426,133 outstanding shares;

3. Buyout operations will be carried out at BM&FBOVESPA's trading session, with the intermediation of the following institutions: Itaú Corretora de Valores S.A. with principal place of business at Avenida Brigadeiro Faria Lima n° 3,400, 10th floor, São Paulo, SP, Brazil, Corporate Taxpayer No. 61.194.353/0001-64; Morgan Stanely Corretora de Títulos e Valores Mobiliários S.A. with principal place of business at Avenida Brigadeiro Faria Lima n° 3,600, 10th floor, São Paulo, SP, Corporate Taxpayer No. 04.323.351/0001-94; BTG Pactual CTVM S.A. with principal place of business at Avenida Brigadeiro Faria Lima n° 3,477, 10th floor, São Paulo, SP, Corporate Taxpayer No. 43.815.158/0001-22; Credit Suisse Brasil S.A. CTVM - with principal place of business at Rua Leopoldo Couto de Magalhães Júnior nº 700, 12th floor, São Paulo, SP, Corporate Taxpayer No. 42.584.318/0001-07; and UBS Brasil Corretora de Câmbio, Títulos e Valores Mobiliários S.A. with principal place of business at Avenida Brigadeiro Faria Lima n° 4,440, 7th floor, São Paulo, SP, Corporate Taxpayer No. 02.819.125/0001-73; and

4. The maximum timeframe for Company's common shares buyout under the Common Share Buyback Program will be 365 days from 7.28.2016 to 7.27.2017, and the Officers will set the dates on which the buyout will be effectively carried out.

Blumenau, July 27, 2016.