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MarineCo has unfunded pension liabilities valued at $200 million, recorded as a long-term liability. MarineCo has detailed a potential legal judgment of $100 million for

MarineCo has unfunded pension liabilities valued at $200 million, recorded as a long-term liability. MarineCo has detailed a potential legal judgment of $100 million for defective engines in its annual report. Since management estimates a 90 percent likelihood the judgement will be enforced against the engine maker and not MarineCo, they did not report a liability on the balance sheet. The companys marginal tax rate is 30 percent. If MarineCos enterprise value is $2,600 million, what is MarineCos equity value?

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