Consider a 1-year zero-coupon bond that is subordinated and has a CCC rating. The historical recovery rate on subordinated bonds has been 8.8% and the historical default probability on CCC-rated bonds has been 1.3%. The promised yield on a 1-year zero-coupon Treasury bond is 2.3%. All rates are annualized assuming periodicity of 1 (i.e. annual compounding). What should be the promised yield on the CCC-rated bond based on the historical information provided?