In recent years, Haverhill Corporation has averaged net income of $$10$ million per year on net sales of $$100$ million per year. It currently has no long$-$term debt, but is considering a debt issue of $$3\mathrm{.}0$ million. The interest rate on the debt would be $6$ percent. Haverhill currently faces an effective tax rate of $35$ percent. What would be Haverhill's annual interest tax shield if it goes through with the debt issuance?

Annual interest tax