An analyst at Ridgemont Capital uses a 2-factor APT model. Factor 1 (GDP surprise) has a risk premium of 4.0% and Factor 2 (inflation surprise) has a risk premium of 1.8%. Clearfield Corp has factor loadings of 1.3 on GDP and -0.7 on inflation. The risk-free rate is 3.5%. If the analyst forecasts Clearfield will return 10.5%, the implied alpha is closest to: