Ace Bandages, a French company, is considering an expansion of its manufacturing operations in Lyon. The cost of the project, to be incurred in 2009, will be €45 million. Production and sales will commence in 2010. Net cash flow for that year is projected at €3 million. Cash flows are then projected to grow by 10% a year through 2014. Thereafter, net cash flows are projected to increase by 5% a year into the foreseeable future. Ace’s WACC is 12%. What is the NPV of the project and should ACE go ahead with the project?