A bank is considering a debt-for-equity swap to salvage a $4 million loan that is in default. A turnaround expert has estimated the following cash flows if the bank chooses the debt-for-equity swap.

Initial Investment in year 0 $5,000,000

Expected cash flows after turnaround in years 1-5 $1,275,000

Sale of Equity (Exit) in year 5 $4,00,000

Equity ownership 80%

Cost of capital 14%

They should not engage in the debt-to-equity swap if they can get a minimum liquidation value of...?