definiens: shall mean all internal ( direct and indirect ) and Third Party expenses incurred by EPIX and Schering in the United States and the EU in connection with the Development P rogram, determined in a reasonable manner in accordance with GAAP . Such expenses include, but are not limited to ( i ) direct labor ( salaries, wages, incentive program Costs, awards and employee benefits but excluding any employee benefits associated with eq uity incentive plans ) ; ( ii ) materials and supplies ; ( iii ) allocated Costs for building space directly dedicated to the development of the Licensed Products ( including rent, depreciation, amortization and maintenance ) but excluding expenses relating to unus ed capacity, development of other products, and amortization of property, plant and equipment not directly related to development of Licensed Products in accordance with the Development Plan ; ( iv ) Third Party contracts and consulting expenses incurred for services in connection with the Development Program ; ( v ) allocated Costs for information technology directly dedicated to the development of the Licensed Products and ( vi ) travel and entertainment, telephone, recruiting, training ( both internal and externa l ), clinical trial insurance, software, personal computer equipment and support Costs and freight and delivery expenses . Such Costs shall not include General and Administrative Expenses or expenses incurred from departments that are not directly engaged in the development of the Licensed Products, including but not limited to, finance and procurement, corporate administration, legal ( both external and internal expenses ), human resources, business development and licensing, Sales and Marketing ( as hereinafte r defined in Section 1.38 ) except for Costs of pre -launch marketing activities incurred prior to the Launch Preparation Date as more fully described in Section 5.1.2 of the Collaboration Agreement, and investor relations