Hadlock Fabrics has $10 million in preferred stock, $6 million in common equity, and $4 million in unsecured bonds. The company's after tax cost of capital is 10 percent. The company has the following income statement:
Sales: $10.0 million
Operating costs $ 6.0 million
Operating income $ 4.0 million
Interest expense $ 2.0 million
Earnings before taxes $ 2.0 million
Taxes (40%) $ 0.8 million
Net income $ 1.2 million
What is Hadlock's EVA?