Companhia de Saneamento Basico Sabesp : Call notice

The shareholders of Companhia de Saneamento Básico do Estado de São Paulo - Sabesp ('Company') are hereby invited, pursuant to Article 5, paragraph 1 of the Bylaws, to the Annual Shareholders' Meetings to be held on April 28, 2017, at 11:00 a.m., at the Company's headquarters, at Rua Costa Carvalho nº 300, in the city and state of São Paulo, to resolve on the following matters:

(i) To examine the management accounts, as well as to examine, discuss and vote on the Company's financial statements for the fiscal year ended December 31, 2016, namely: Balance Sheet and the respective Statements of Income, Comprehensive Income, Changes in Shareholders' Equity, Cash Flow and Value Added, and the Notes to the Financial Statements, in addition to the Annual Management Report, the Independent Auditors' Report, the Fiscal Council's Opinion and the Summarized Annual Report of the Audit Committee.

(ii) To resolve on the allocation of net income for the fiscal year ended December 31, 2016.

(iii) To elect one Board of Directors' member for the term of office ending on the date of the 2018 Annual Shareholders' Meeting.

(iv) To elect the members of the Fiscal Council for the term of office until the 2018 Annual Shareholders' Meeting.

(v) To establish the overall annual compensation of Management and Fiscal Council members for fiscal year 2017.

The documents related to the matters to be discussed in the Annual Shareholders' Meeting will be at the shareholders' disposal at the Company's headquarters and electronically, on the website of the Brazilian Securities and Exchange Commission (CVM), in the format and for the time period defined by CVM Instruction 481/2009.

GENERAL INFORMATION: Proof of the status of shareholder may be required at any time before the installation of the Annual Shareholders' Meeting by presenting: (i) identification, and/or related articles of incorporation that prove legal representation, as applicable; (ii) proof of ownership and the number of shares held by the respective shareholder issued by the depositary financial institution; and (iii) in the case of proxy representation, the applicable proxy appointment duly notarized and granted within the last year, accompanied by the identification and/or related articles of incorporation of the proxy, as applicable.

VOTING INSTRUMENT: SABESP will adopt the remote vote system, pursuant to CVM Instruction 481/09, as amended, given that the shareholders will also be entitled to attend the Annual Shareholders' Meeting by sending, as of today, a remote voting instrument, pursuant to the terms in the Management Proposal made available on the websites of the CVM (www.cvm.gov.br) and the Company (www.sabesp.com.br): (i) by instructing their custody agents to fill in the voting instrument, if the shares are held in custody in a depository central; (ii) by giving instructions to fill in the voting instrument to the financial institution contracted by the Company to provide bookkeeping services, if the shares are not held in custody in a depository central; or (iii) directly to the Company, via mail or email. The voting instructions must be received by the custody agent, the bookkeeping institution, or the Company, whatever the case, up to seven (7) days prior to the Annual Shareholders' Meeting and, in case the instructions are directly sent to the Company, the remote voting instrument, duly initialed and with a notarized signature, must be accompanied by the other documents referred to in the 'General Information' item above.

São Paulo, March 27, 2017.

Benedito Pinto Ferreira Braga Junior
Chairman
Board of Directors