definiens: shall mean a rate of USD $ [ * * * ] per FTE per annum ( reflecting the fully burdened cost ofthe FTE ), exclusive of VAT and increasing on each January 1 following the first anniversary of the Effective Dateduring the R&D Term by a percentage increase equal to the percentage increase, if any, in the CPI reported for theimmediately preceding Calendar Year . For the avoidance of doubt, such rate includes ( a ) all salaries, wages, bonuses, benefits, management fees, profit sharing, stock option grants and FICA costs and other similar costs, nationalinsurance and pension contributions, meals and entertainment, training, recruiting, relocation, operating supplies andequipment, materials, consumables and other disposable goods to the extent required for the performance of theapplicable services and ( b ) managerial and other overhead costs associated with such FTE and the performance ofhis or her activities hereunder