definiens: shall mean the gross amount invoiced by Distributor or its Affiliates for the sale of the Product to third parties in the Territory, less ( i ) the cost of freight and freight insurance ; ( ii ) returns, allowances, discounts ( including, without limitation, payment discounts of up to 1»'0 percent ( 2 $ ) ) ; ( iii ) credits, administrative fees and rebates related or attributable to the sale of the Product ( including, without limitation, allowances, discounts, credits, rebates and administrative fees paid to purchasers and group purchasing organizations or other Persons pursuant to contracts and arising from the sale of the Product ) ; and ( iv ) sales, use, value­added, excise, or other similar taxes, including without limitation documented entry / exit duties and other duties to the extent such taxes are included in the gross amount invoiced for Product ; provided, however, that no adjustment to Net Sales shall be permitted for any sales discount, administration fee, rebate, credit or allowance attributable solely to purchasing contracts for 5 other non - Product items sold by Distributor . Where Product is sold as part of any purchasing contract generated by Distributor, any administrative fees, credits and allowances will be charged on a pro - rata basis against the Net Sales of the Product based on the Product 's proportional share of the total sales of the purchasing contract . A shall not include any sale or disposition of Samples or Demonstration Units, or any transfer or disposition of the Product for pre - clinical, clinical, regulatory or governmental purposes prior to receiving marketing approval . For purposes of calculating Product shall be considered upon the invoicing of such Product by Distributor to a third party ( other than to any of its Affiliates ), or upon invoicing of such Product by any of Distributor 's Affiliates to a third party . With respect to Products sold outside of the United States and denominated in a foreign currency, the Net Sales attributable thereto shall be converted from such foreign currency into United States Dollars by utilizing the The Foreign Currency Translation Rate Method is the conversion methodology used by Distributor from time to time in calculating sales of its other products in its ordinary course of business