On May 10 of the current year the Corporation distributes to its shareholder 16000 in cash and land (a capital asset) having a 78000 FMV. The land has a 26000 adjusted basis (for both taxable income and E&P purposes) and is subject to a 90000 mortgage, which shareholder assumes. Corporation has an E&P balance exceeding the amount distributed and is subject to a 21 % corporate tax rate.

What is the amount of distribution and character of distribution (capital gain, capital loss, dividend income or return of capital)?