definiens: means the result of calculat ing, on a Product - by - Product basis, ( x ) the difference between the quantities of Product budget ed to be manufactured and the actual quantities of Product manufactured, multiplied by ( y ) the budgeted per- unit absorption rate of such Product ( as budgeted in accordance with Sectio n 3.2(a ) ), and aggregating the result over all Products manufactured at the applicable Facilit y during the applicable Financial Year, provided that ( A ) each calculated Volume Variance s hall be reduced by a Facility - specific allowance for variable costs as determined by Manuf acturer for each Financial Year and communicated to Customer, and ( B ) Customer shall no t be responsible for Manufacturer ’s failure to manufacture Product . As used herein, the represents, with respect to the applicable Product, all budgeted Standard Co st elements less Product Material components thereof, as calculated in each case by M anufacturer