(a) Shareholding in subsidiaries:

	2009			2008
	TIM Celular	Intelig	Total	TIM Celular
Subsidiary
Number of shares held	31,506,833,561	3,279,157,267		31,506,833,561
Participation in total capital	100%	100%		100%
Shareholder's Equity	7,840,542	500,427		7,788,868
Income (Loss) for the year	241,674	(16,701)		183,918
Equity pickup	241,674	(16,701)	224,973	183,918
Investment amount	7,824,661	500,427	8,325,088	7,772,987
Special goodwill reserve (*)	15,881	-	15,881	15,881
Investment amount	7,840,542	500,427	8,340,969	7,788,868
(*) The special goodwill reserve recorded by TIM Celular represents the parent company's rights in future capitalizations. These tax benefits are connected with goodwill paid upon privatization of Tele Celular Participações S.A (former TIM Participações). This goodwill was recorded against the special goodwill reserve, under "Shareholders' equity". Based on the projected income and the concession period, in the first two years amortization was at 4% p.a., and the remaining was fully amortized in 2008.

The equity pickup in Intelig, a negative R$16,701, represents the net income recorded by the subsidiary between December 1^st, 2009 to December 31, 2009.

(b) Changes in investments in subsidiaries:

	TIM Celular	Intelig	Total
Investment balance at December 31, 2007	7,905,807	-	7,905,807
Prescribed dividends and interest on equity	6,657	-	6,657
Decrease in capital stock (i)	(132,792)	-	(132,792)
Allocation of dividends	(174,722)	-	(174,722)
Equity pickup	183,918	-	183,918
Investment balance at December 31, 2008	7,788,868	-	7,788,868
Acquisition of Intelig	-	517,128	517,128
Allocation of dividends	(190,000)	-	(190,000)
Equity pickup	241,674	(16,701)	224,973
Investment balance at December 31, 2009	7,840,542	500,427	8,340,969
(i) Capital was decreased to allow funds to flow to the parent company without changing the number of shares.