Usinas Siderurgicas de Minas Gerais Usiminas : Clarification on the news published by the press

Usiminas Belo Horizonte

Rua Prof. José Vieira de Mendonça, 3011

31310-260 Belo Horizonte MG

T 55 31 3499-8000 F 55 31 3499-8899

(Free Translation: For reference only - Original in Portuguese)

www.usiminas.com

USINAS SIDERÚRGICAS DE MINAS GERAIS S.A. - USIMINAS

CNPJ/MF 60.894.730/0001-05

Publicly-held Company

NOTICE TO THE MARKET

Usinas Siderúrgicas de Minas Gerais S.A. - USIMINAS ("Usiminas" or "Company"), by its Finance and Investors Relations Vice-President Officer undersigned, in response to the request of clarification sent by the Brazilian Securities and Exchange Commission (CVM), hereby informs the following.

Initially, we inform that we make reference to the Official Letter nº 217/2018/CVM/SEP/GEA-2, received on 7.16.2018 ("Official Letter"), which is transcribed below:

"Official Letter No. 217/2018/CVM/SEP/GEA-2

Rio de Janeiro, July 16th, 2018.

To Mr.

Alberto Akikazu Ono

Investors Relations Officer

USINAS SIDERÚRGICAS DE MINAS GERAIS S.A.

RUA PROFESSOR JOSÉ VIEIRA DE MENDONÇA, 3011 - ENGENHO NOGUEIRA. CEP 31310-260 - BELO HORIZONTE - MG

Tel 31-3499-8775

E-mail:dri@usiminas.com

C/C:emissores@b3.com.br; ana.pereira@b3.com.br; maiara.madureira@b3.com.br;marcelo.heliodorio@b3.com.br; nelson.ortega@b3.com.br

Matter: Request of clarification about article published in the press

Dear Sir,

1. We refer to the article published in the "O Estado de S. Paulo" newspaper, on 07.15.2018, under the title "Ministério do trabalho vai à Justiça contra Usiminas" (Public Labor Prosecution Office goes to Justice against Usiminas), which contains the following information:

"The Public Labor Prosecution Office (MPT) filed a public interest civil action in court, which Broadcast had access, against Usiminas and the Board of Directors' member appointed by the employees, Luiz Carlos Miranda. The MPT stated that, in its view, documents attached to the action prove that Usiminas provided money in an illicit way to the union, of which Miranda participates. The transfer of funds would have occurred through a "system of dissimulation consisting of millionaire payments for false service contracts by the Union and also by the São Francisco Xavier Foundation, entity controlled and maintained by Usiminas." Thus, the MPT concludes that Miranda was used

Usiminas Belo Horizonte

Rua Prof. José Vieira de Mendonça, 3011

31310-260 Belo Horizonte MG

T 55 31 3499-8000 F 55 31 3499-8899

(Free Translation: For reference only - Original in Portuguese)

www.usiminas.com

to corrupt and subvert the collective labor relations, and for this, he received in return economic, financial and political benefits.

Investigation. The move comes after the MPT has instituted a civil investigation with the purpose of investigate complaints on the election conducted by Usiminas, in which Miranda was appointed as the employees' representative to the collegiate. The MPT explains, in the action, that the subject of such investigation ended up being expanded, since it was verified that Miranda, "as a member of the management of the company" and with the support of the company's CEO, "has been doing open election campaign in the region" The action states that it was verified that "fraudulent elections to the Company's Board" in 2016 and 2018, in order to elect Miranda, are "only a chapter of the ingrained and permanent performance of the system of corruption of the collective relations against the employees" and which ends, finally, denying the employees' freedom of association. Claims. The MPT requires interlocutory relief to "restore the violated legal order" with his immediate removal of Usiminas' Board of Directors. It also claims new elections to the Usiminas' employee representative in the Board, a breach of fiscal and banking secrecy of Luiz Carlos Miranda and expert evidence in the union. For moral damages, the Ministry of Labor requests the payment of R$ 100 million by Usiminas and R$ 5 million by Miranda. When contacted, Usiminas said it did not yet have access to the content of the action, but reiterated the fairness of the election process and, that the employees' representative "fulfills all the requirements of the Brazilian Corporate Law to occupy the position of Company's Board Member". Luiz Carlos Miranda also informed that was not notified, but stated that the election took place with "clear and transparent rules" in a democratic process. He also stated that he will take appropriate legal measures to hold the author responsible for such allegations "in a calumnious manner". (our griffins)

2. In this regard, we request your position about the veracity of the information provided in the article, and, if it is veracious, we request to be informed the reasons why it decided not to be matter of Material Fact, pursuant to CVM Instruction 358/02.

3. Such statement shall include the copy of this Official Letter and be forwarded through the system IPE, category: "Notice to the Market", type: "Clarifications on Inquiries CVM/B3". The compliance with this request of manifestations through a Notice to the Market does not exempt any determination of liability for failure to timely release of Material Fact, pursuant to CVM Instruction 358/02.

4. We emphasize that, pursuant to article 3º of the CVM Instruction nº 358/02, complies with the Investor Relations Officer to disclose and inform CVM and, if applicable, the stock exchange and entity of the organized counter market in which the securities issued by the company are admitted to trading, any relevant act or fact occurred or related to its business, as well as ensure its wide and immediate dissemination, simultaneously in all markets where such securities are admitted to trading.

5. We also remind of the obligation referred to in sole paragraph of article. 4º of CVM Instruction 358/02, of inquiring the Company's managers and controlling shareholders, as well as all the other person with access to relevant act or fact, in order to verify if they would have knowledge of any information that should be disclosed to the market.

Usiminas Belo Horizonte

Rua Prof. José Vieira de Mendonça, 3011

31310-260 Belo Horizonte MG

T 55 31 3499-8000 F 55 31 3499-8899

(Free Translation: For reference only - Original in Portuguese)

www.usiminas.com

6. By order of the Superintendence of Corporate Relations - SEP we warn that it will be up to this administrative authority in the exercise of its statutory duties and, on the basis of section II of Article 9 of Law No. 6,385/1976, and Article 7 c/c of Article 9 of CVM Instruction 452/2007, to determine the application of injunction fine of R$ 1,000.00 (one thousand reais), without prejudice to any possible verification of responsibility for noncompliance to this Notice, until July 17th, 2018.

Best regards,

Document digitally signed by Guilherme Rocha Lopes, Manager, on 7/16/2018, at 10:23AM, pursuant to article 6º, paragraph 1st, of Decree nº 8,539, of October 8, 2015."

In this regard, Usiminas refers to the clarifications provided in the Notice to the Market presented at 08:21AM on 7.16.2018, and reiterates that the election of the employees' representative on the Board of Directors was carried out in an absolutely regular manner.

The Company clarifies that it has not had access yet to the records of the public-interest civil action filed by the Public Labor Prosecution Office of Coronel Fabriciano - MG and that, after taking notice of the documents that instruct it, shall present its defense in relation to the allegations contained therein and to the possible request for compensation for alleged moral damages, as mentioned in the journalistic article referred to in the Official Letter. Finally, in light of the article published by Valor Econômico newspaper today, the Company also clarifies that it is not aware of the imposition of any fine by MPT to Usiminas in relation to the matter.

Belo Horizonte, July 17th, 2018.

Alberto Ono

Finance and Investors Relations Vice-President Officer