definiens: means the gross amount invoiced by or on behalf of Company or any of its Subsidiaries or any Rights - Holding Party for sales or other tran sfers of any unit of a Category 1 Product to a Thir d Party ( ), less the following with respect to the sale of the relevant unit of such Category 1 P roduct to the extent included in Gross Sales : ( a ) customary trade, quantity or cash discounts to the extent actually allowed and taken ; ( b ) amounts repaid or credited by reason of defects, recalls, rejections or returns ; ( c ) to the extent separately stated on purchase ord ers, invoices or other documents of sale, any taxes or other governmental charges levied on the s ale, transportation, delivery or use of such Catego ry 1 Product which are paid by or on behalf of Company, but excluding any taxes on net income ; ( d ) outbound transportation costs prepaid or allowe d and costs of insurance in transit, to the extent separately stated on purchase orders, invoices or o ther documents of sale ; ( e ) rebates and chargebacks to customers and Third Parties ( including Medicare, Medicaid, managed healthcare and similar types of rebates ) gr anted and taken in the ordinary course of business or as required by Applicable Law ; and ( f ) delayed ship order credits or discounts