definiens: means the net sales on behalf of [COMPANY], Seller and any of their Affiliates, authorized sublicensees and assignees for Product sold to third parties other than sublicensees and assignees, as determined in accordance with GAAP applied on a consistent basis . The deductions booked by [COMPANY], Seller or any of their Affiliates or authorized sublicensees or assignees to calculate the recorded net sales from gross sales include the following : ( i ) normal trade and cash discounts ; ( ii ) amounts repaid or credited by reasons of defects, rejecti ons, recalls or returns ; ( iii ) rebates and chargebacks to customers and third parties ( including, without limitation, Medicare, Medicaid, TriCare, Managed Healthcare ) ; ( iv ) any amounts recorded in gross revenue associated with goods provided to custo mers for free including samples ; ( v ) amounts provided or credited to customers through coupons, other discount programs and co - pay assistance programs ; ( vi ) delayed ship order credits, discounts or payments related to the impact of price increases between purchase and shipping dates ; ( vii ) fee for service payments to customers for any non -separable services ( including compensation for maintaining agreed inventory levels and providing information ) ; and ( viii ) amounts received for transportation a nd delivery of the Product, including insurance ; provided, however, with respect to the calculation of Net Sales : ( a ) Net Sales only include the value charged or invoiced on the first sale to a third party and sales between or among Confidential treatmen t has been requested for portions of this exhibit under 17 C.F.R. Sections § § 200.80(b)(4 ) and 230.406 . The copy filed herewith omits the information subject to the confidentiality request . Omissions are designated as [ * * * ] . A complete version of this exhi bit has been filed separately with the Securities and Exchange Commission