definiens: means, with respect to a given period of time, gross sales of Product ( following itsRegulatory Approval ) by Horizon, its Aﬃliates and Sublicensees in such period, less the following deductions which areactually incurred, allowed, paid, accrued or speciﬁcally allocated to such gross sales amounts of Product using GAAPapplied on a consistent basis:(a)credits or allowances for defective or damaged Product ( including allowances for spoiled, outdated or withdrawn Product ), returns or rejections of Product, price adjustments and billing errors;(b)governmental payments and other rebates, refunds and chargebacks ( or equivalents thereof)granted to managed health care organizations ; commercial insurance companies ; pharmacy beneﬁt managers ( orequivalents thereof ) ; federal, state / provincial, local and other governments, their agencies and purchasers and reimbursers;or to trade customers;(c)normal and customary trade, cash, prompt payment and/or quantity discounts, allowances andcredits and mandated discounts;(d)distribution services agreement fees allowed or paid to Third Party distributors and reasonablefees paid to wholesalers, selling agents ( excluding any sales representatives of Horizon or any of its Aﬃliates orSublicensees ), group purchasing organizations, Third Party payors, other contractees and managed care entities, in eachcase with respect to such Product;(e)transportation costs, including insurance, for outbound freight, other transportation charges, additional special packaging;(f)amounts actually written oﬀ as bad debt or otherwise uncollectible with respect to Product;provided that, if any such written - oﬀ amounts are subsequently collected, such collected amounts shall be included in NetSales in the period in which they are collected;(g)sales taxes, value added taxes and other taxes ( other than income taxes ) and duties paid inrelation to such Product and any other equivalent governmental charges imposed upon the importation, use or sale ofProduct ; and(h)retroactive price reductions to the Third Party applicable to sales of such Product