Telefonica Brasil, S.A., in compliance with Ruling No. 358 of January 3, 2002, of the Brazilian Securities and Exchange Commission, announced to its shareholders and to the general public that its Board of Directors, decided to elect Mr. Alberto Manuel Horcajo Aguirre, current Chief Financial Officer and Investor Relations and Corporate Resources Officer, as Chief Executive Officer and General and Executive Officer of the company, substituting, respectively, Mr. Antonio Carlos Valente da Silva and Mr. Paulo César Pereira Teixeira, cumulatively to his current position, adding such duties for the remainder of the term of the replaced officers, or until the Board of Directors decides to appoint new officers. Mr. Paulo Cesar Pereira Teixeira has left his position as member of the Board of Directors of the company.

Mr. Amos Genish, currently CEO of GVT, to act as Chief Executive Officer of the company after the conclusion of the GVT acquisition, which should occur during the first half of 2015. Mr. Antonio Carlos Valente da Silva will remain in his position as Chairman of the Board of Directors of the company.