On September 1st, A&F Co. purchased raw material from German and would pay 150 million euros for this order on December 1st. It negotiated a 3-month forward contract to buy 150 million euros on that date at $1.32. On October 1st, the German firm informed A&F Co. that it wouldn't be able to fulfill that order. The euro spot rate on October 1st is $1.35 and 2-month forward rate exhibits 2% discount. To offset its existing contract, A&F Co. will negotiate a forward contract to ____ for the date of December 1st and the profit/loss generated from this transaction is a ____ U.S. dollars. (Points : 3.5)

buy euro; loss of 450,000 sell euro; loss of 450,000 sell euro; gain of 450,000 buy euro; gain of 450,000