Smith & Company issued $80 million maturity value of 5-year bonds, which carried a coupon rate of 6% and paid interest semiannually.

At the time of the offering, the yield rate for equivalent risk-rated securities was 8%.

Two years later, market yield rates had risen to 10%, and since the company no longer needed the debt financing, executives at Smith & Company decided to retire the debt.

Calculate the gain or loss that Smith & Company will incur as a consequence of retiring the debt early