9) Consider a firm with the following cash flows as of year 0:

Sales $800 million

Cost of goods sold 60% of Sales

Selling, General, & Admn. Expenses 10% of Sales

Depreciation 12% of Sales

Interest Expenses $50 million each year, forever, except year 2 when its $55 million

Capital Expenditures 12% of Sales

Net Working Capital None

Tax Rate 35%

The Sales of the company is expected to grow at a 10% rate annually forever (that is, Sales for each year would be 10% more than the previous years Sales). Further, the company plans some additional borrowing of $40 million in year 1, and would repay this in year 2. After year 2 there are no more additions or subtractions to the firms debt level.

The firms total year 2 interest expense will be $55 million, while it will be $50 million in all other years.

What are the Free Cash Flows to Equity (FCFE) to the firm in years 1, 2, and 3?