With a capital structure of 65% debt and 35% equity, Loews Corp. a company headquartered in U.S. is expanding its business in Austria. The United States is Austria's second largest export market after Germany. Recently, Loews Corp. has its business funded in Euro. This includes a total debt of EUR 70 million or 30% of its total capital in Austria. Its effective tax shield is 20%. The risk-free rate in USD is 1.6% while in EUR is 1.3%. Loews's equity portfolio beta is 1.30. The market risk premium is 6.00%. Inflation rate in U.S. is 2.20% while in Austria is 1.40%