The First National Bank of Great Falls is considering a leveraged lease agreement involving some mining equipment with the Big Sky Mining Corporation. Th e bank (40 percent tax bracket) will be the lessor; the mining company, the lessee (0 percent tax bracket); and a large California pension fund, the lender. Big Sky is seeking $50 million, and the pension fund has agreed to lend the bank $40 million at 10 percent. Th e bank has agreed to repay the pension fund $4 million of principal each year plus interest. (Th e remaining balance will be repaid in a balloon payment at the end of the fi ft h year.) Th e equipment will be depreciated on a straight-line basis over a 5-year estimated useful life with no expected salvage value. Assuming that Big Sky has agreed to annual lease payments of $10 million, calculate the banks initial cash outfl ow and its fi rst two years of cash infl ows.