Loftin Company traded machinery with a book value of $950,000 and a fair value of $900,000. It received in exchange from Thomas Company a machine with a fair value of $1,000,000. Loftin also paid cash of $100,000 in the exchange. Thomass machine has a book value of $950,000. What amount of gain or loss should Loftin recognize on the exchange (assuming lack of commercial substance)?