Filer Manufacturing has 9.1 million shares of common stock outstanding. The current share price is $61, and the book value per share is $3. Filer Manufacturing also has two bond issues outstanding. The first bond issue has a face value of $71.6 million and a coupon rate of 7.8 percent and sells for 107.5 percent of par. The second issue has a face value of $61.6 million and a coupon rate of 8.3 percent and sells for 110.5 percent of par. The first issue matures in 7 years, the second in 28 years.

The company