Abstract: The first observation of the rare decay B-s(0) -> phi pi(+) pi(-) and evidence for B-0 -> phi pi(+) pi(-) are reported, using pp collision data recorded by the LHCb detector at center-of-mass energies root s = 7 and 8 TeV, corresponding to an integrated luminosity of 3 fb(-1). The branching fractions in the pi(+) pi(-) invariant mass range 400 < m(pi(+) pi(-)) < 1600 MeV/c(2) are [3.48 +/- 0.23 +/- 0.17 +/- 0.35 +/- x 10(-6)] and [1.82 +/- 0.25 +/- 0.41 +/- 0.14 +/- x 10(-7) for B-s(0) -> phi pi(+) pi(-) and B-0 -> phi pi(+) pi(-) respectively, where the uncertainties are statistical, systematic and from the normalization mode B-s(0)-> phi phi. A combined analysis of the pi(+) pi(-) mass spectrum and the decay angles of the final-state particles identifies the exclusive decays B-s(0) -> phi f(0)(980), B-s(0) -> phi f(2)(1270), and B-s(0) -> phi rho(0) with branching fractions of [1.12 +/- 0.16(-0.08)(+0.09) +/- 0.11] x 10(-6), [0.61 +/- 0.13(-0.05)(+0.12) +/- 0.06] x 10-6 and [2.7 +/- 0.7 +/- 0.2 +/- 0.2] x 10(-7), respectively.