TIM Participacoes : Pagamento de Dividendos

TIM PARTICIPAÇÕES S.A.

Corporate Taxpayer's ID (CNPJ / MF) 02.558.115/0001-21

Corporate Registry (NIRE) 33.300.276.963

NOTICE TO SHAREHOLDERS

PAYMENT OF DIVIDENDS

TIM Participações informs that it will begin on June 19, 2018, the payment of dividends related to the fiscal year ended on December 31, 2017, in the total amount of R$ 103,325,029.15 (one hundred and three million, three hundred and twenty-five thousand, twenty nine reais and fifteen cents), as approved by resolution of the Ordinary and Extraordinary General Meeting held on April 19, 2018.

The Company notes that the date for identification of shareholders entitled to receive such amounts was established as April 19, 2018, and the shares acquired after this date are ex-dividend distribution rights.

1 - DIVIDENDS PER SHARES:

Value per share	Total amount
Dividends	R$ 0.042690439	R$ 103,325,029.15

The amount per share was reduced by R$ 0.000005555, in view of the reduction in the number of treasury shares and the consequent increase in the number of shares entitled to receive dividends, arising from the Company's Long-Term Incentive Plan.

2 - FORM OF PAYMENT (BOOK-ENTRY SHARES):

2.1. The dividends related to the shares held by CBLC - Companhia Brasileira de Liquidação e Custódia - will be paid through B3 S.A. - Brasil Bolsa Balcão, which will pass them on to shareholders through custody agents;

• 2.2. Credit to the bank account designated by the shareholder with Banco Bradesco S/A; and

• 2.3. Payment of dividends by the branches of Banco Bradesco S / A, in the case of shareholders who do not meet the aforementioned standards. The shareholder that fits in this condition may be entitled to receive dividends, attending the places of service in possession of their CPF taxpayer card and personal identification document, when a private individual; CNPJ, Social Contract, Bylaws, Minutes of the Meeting that elected the board of executive officers and personal identification document and CPF of the legal representatives of the company, when legal entity, being mandatory the delivery of the respective power of attorney by public instrument, specific to receive dividends, when the shareholder is represented by a proxy.

3- SHAREHOLDER SERVICES LOCATIONS:

• 3.1. At any branch office of Banco Bradesco S.A.;

• 3.2. Additional information may be obtained at Banco Bradesco S.A. e-mail address:[e-mail]. Pursuant to Article 287, Item II, Letter "a" of Law 6,404/76 (Brazilian Corporation Law), the right to receive dividends expires in 3 (three) years from the date on which the dividends are made available to shareholders, and under Article 206, Paragraph 3, Item II of Brazil's Civil Code, the option to make interest, dividend or supplementary payments expires in 3 (three) years.

Rio de Janeiro, June 18, 2018.

TIM Participações S.A.

Adrian Calaza

Chief Financial Officer and

Investor Relations Officer

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