Bay Transport Systems(BTS) currently has $20 million in debt outstanding. In addition to 6.0% interest, it plans to repay 10% of the remaining balance each year. If BTS has a marginal corporate tax rate of 21%, and if the interest tax shields have the same risk as theloan, what is the present value of the interest tax shield from thedebt?

The present value is $............... million. (Round to two decimalplaces.)