definiens: means the actual co st of the Manufacture byAtrix of the Product under a Manufacturing Process, including the relatedquality assurance and quality 2 < PAGE > control activities as required by Applicable Laws ( other than the costs setforth in Section 2.03 ), which actual cost shall be comprised of the cost ofgoods produced as determined in accordance with GAA P, and shall include directlabor, direct material, including raw materials and packaging materials, and theallocable portion of the manufacturing overhead of Atrix directly attributableto the Manufacture of the Product . The allocable po rtion of the manufacturingoverhead shall be determined by taking the total fa cility cost for the period, less an adjustment for idle capacity, and allocatin g the remaining facility costby labor usage to each of the products produced in the facility during theperiod . For example : If the facility cost for the p eriod was $ 1,000,000 and itwas operating at 80 % capacity, the allocable facili ty cost would be $ 800,000 . Ifthe Product represented 30 % of labor usage during t he period, the allocableportion of the manufacturing overhead directly attr ibutable to the Manufactureof the Product would be $ 240,000 . Atrix Manufacturi ng Cost shall excludeselling, general and administrative, research and d evelopment, and interestexpenses and any and all debt service payments of A trix