ABC Corp. has been forced to file for bankruptcy. The company has been allowed to reorganize and the courts have specified for a new bond with more favorable terms to be issued. The new issue will consist of 20-year, 12% coupon rate bond with semiannual coupons and each bond in the issue having a $1,000 par value. However, the new bond indenture relieves the company of making interest payments for the first 6 years. For the remaining 14 years, the regular interest payments would resume. The reorganization calls for the $720 in deferred interest to be paid in 2 equal installments; one payment of $360 at the end of year 12 and one payment of $360 at maturity.

Calculate the value of a new $1,000 par value bond assuming a yield to maturity of 10%. Show your work.