Earth Inc. is considering an acquisition of Mass Corp., in which Mass shareholders would receive $60.00 for each share they own. Earth intends to pay for the acquisition using its stock. Earth currently has 120 million shares outstanding, each trading at $50.00, while Mass has 25 million shares outstanding, currently valued at $45.00 per share. In the year immediately before the merger, Earths net earnings totaled $280 million, while Masss net earnings equaled $75 million. Earth estimates that Masss net earnings will increase by 5% as a result of the merger while Earths net earnings will remain the same as in the pre-merger year. Determine whether the acquisition will be dilutive (i.e., reduce) or accretive (i.e., increase) to EPS in the first year following closing and by how much.