definiens: means with respect to any Licen sed Product, the gross amount invoiced by [COMPANY], any of its Affiliates or any Sublicensee ( other tha n a Settlement Sublicensee ) ( each, a ) to a Third Party ( including a customer, Distributor, wholesale r or end user ) for sales or distribution of such Li censed Product, less the following deductions, as calculated in acc ordance with the standard internal policies and pro cedures of the applicable Selling Party and in accordance with Acc ounting Standards applicable to the deductions : 1.101.1 normal trade, cash, quantity and other c ustomary discounts actually given to customers in the ordinary course of business ; 1.101.2 rebates, credits and allowances given by reason of rejections, returns, damaged or defective product or recalls ; 1.101.3 government - mandated rebates and any othe r compulsory payments, credits, adjustments and rebates actually paid or deducted ; 1.101.4 price adjustments, allowances, credits, chargeback payments, discounts, rebates, fees and reimbursements or similar payments granted or m ade to managed care organizations, group purchasing organizations or other buying groups, pharmacy bene fit management companies, health maintenance organi zations and any other providers of health insurance coverag e, health care organizations or other health care i nstitutions ( including hospitals ), health care administrators, patient assistance or other similar programs, or to federal state / provincial, local and other governments, incl uding their agencies, or to wholesalers, Distributo rs or other trade customers ; 1.101.5 the portion of administrative fees paid or otherwise accrued during the relevant time period to group purchasing organizations, pharmaceu tical benefit managers or Medicare Prescription Dru g Plans to the extent allocated to such Licensed Product ; 1.101.6 the price paid to a Third Party ( other t han a Sublicensee or Distributor ) for any Delivery System, if the price for such Delivery Sys tem is included in the gross amount invoiced by suc h Selling Party for such Licensed Product, where for purposes of this clause, a means any deli very system comprising equipment, instrumentation, one ( 1 ) or m ore devices, or other mechanical components ( such a s a syringe or infusion bag ) designed to assist in the administration of such Licensed Product ; 1.101.7 any invoiced amounts from a prior period that are not collected and are written off by the applicable Selling Party, including bad debts, provided that such amounts are recorded as a reduct ion in revenue and provided, however, that the amount of any uncol lected amounts or bad debt deducted pursuant to thi s exception and actually collected in a subsequent Calendar Qua rter shall be included in Net Sales for such subseq uent Calendar Quarter ; 18 1.101.8 that portion of the annual fee on prescr iption drug manufacturers imposed by the Patient Protection and Affordable Care Act, Pub . L