NOTICE TO THE MARKET

São Paulo, September 12^th, 2017 – Companhia Brasileira de Distribuição (“CBD” or the “Company”), in compliance with the provisions of Article 157, paragraph 4, of Law No. 6.404, of December 15, 1976, as amended, and CVM Ruling No. 358/02, as amended, informs that it received a notice from the Brazil-Canada Chamber of Commerce regarding a request for arbitration filed by Banco Ourinvest S.A., a financial institution, in its capacity of fund manager and acting in the exclusively interest of the quotaholders of Fundo de Investimento Imobiliário Península (“Península” and the “Proceeding”). After a preliminary analysis of the object matter of the Proceeding, it informs its shareholders and the market in general as follows.

The Proceeding aims to discuss the calculation of the rental fees and other operational matters related to the stores owned by Peninsula, which are object of several lease agreements and contracts entered into between the Company and Peninsula during the year of 2005 (the “Agreements”).

The Agreements assure to CBD the use and commercial exploitation of the referred real estates for a period of twenty (20) years as from their respective execution, which may be extended for an additional 20-year term, at CBD’s exclusive criteria, and which rule the calculation of the rental fees.

The Proceeding refers to matters related to the application of the Agreements and does not affect the continuity of the leases, which are contractually assured. CBD understands that the requests made by Peninsula have no grounds and believes that the Proceeding will be decided favorably to CBD.

CBD further clarifies that the terms of the Proceeding and its potential developments are subject to confidentiality obligations.

CBD’s Investor Relations Department remains available to provide shareholders with any further explanation that may be required in connection with the object of this Notice to Market, through the phone number +55 (11) 3886 0421 or by the e-mail address gpa.ri@gpabr.com.

To access the Notice to the Market in PDF format, click here.