The stockholders' equity of Howell Company at July 31, 2012 is presented below:

Common stock, par value $20, authorized 400,000 shares;
	issued and outstanding 160,000 shares	$3,200,000
Paid-in capital in excess of par		160,000
Retained earnings		650,000
		$4,010,000

On August 1, 2012, the board of directors of Howell declared a 10% stock dividend on common stock, to be distributed on September 15th. The market price of Howell's common stock was $35 on August 1, 2012, and $38 on September 15, 2012. What is the amount of the debit to retained earnings as a result of the declaration and distribution of this stock dividend?