Itausa Investimentos Itau : Conclusion of Participation in the Process for Acquiring BR Distribuidora

CNPJ 61.532.644/0001-15

A Publicly Listed Company

Pursuant to the provision in Article 157, Paragraph 4 of Law 6.404/76 and in CVM Instruction 358/02 and complementary to the Announcement to the Market published on November 1, 2016, Itaúsa - Investimentos Itaú S.A. ("Itaúsa") announces to its shareholders and to the market that it no longer has an interest in acquiring a corporate stake in Petrobras Distribuidora

S.A. ("BR Distribuidora") under the conditions recently disclosed by Petróleo Brasileiro S.A. - Petrobras ("Petrobras").

On July 11 and 14, 2017, Petrobras notified the market through a Material Fact and clarification of reports, respectively, that its Board of Directors had approved the opening of the capital of its wholly-owned subsidiary, BR Distribuidora, through a secondary public offering of shares in which it intends to offer between 25% and 40% of BR Distribuidora's capital stock. In the light of this decision and given that the current structure proposed for the transaction would not permit the acquisition of control of BR Distribuidora on a shared basis as announced by Itaúsa on November 1, 2016, Itaúsa informs that it is no longer interested in acquiring a stake in the capital stock of BR Distribuidora.

Itaúsa wishes to clarify further that the analysis of new investments is not a recent event given that the company's purpose is to participate in the capital of other companies and is therefore continually evaluating potential operations that create additional value for its shareholders.

São Paulo (SP), July 18, 2017.

ALFREDO EGYDIO SETUBAL

Investor Relations Officer