If the bank restructures the loan, the terms of the restructuring terms are as follows:

Loan payments will be stretched to 5 years.

Interest rate will be reduced to 5% for the next 5 years.

Principal payment of $1,000,000 in year 3 and principal payments of $1,500,000 in years 4 to 5.

No upfront fee.

The cost of funds for the bank increases to 10% since the risk of the loan increases after restructuring

What would be the present value of the restricted loan? (