definiens: means, with respect to a given period of time, th e gross amount invoiced by Licensee, its Affiliates, and its sublicensees for sales of L icensed Products to Third Parties, less the followi ng deductions and offsets that are actually incurred, allowed, ac crued and/or taken in accordance with GAAP and are specifically allocated with respect to such sale, but solely to the extent that such deductions or offsets are not otherwise recovered by or reimbursed to Licensee, its Affilia tes and its sublicensees : ( a ) reasonable and customary cash discounts, tr ade and quantity discounts, promotional discounts or stocking allowances, rebates, chargeba cks and other allowances ; ( b ) reasonable and customary credits and allowa nces taken upon rejection, return or recall of Licensed Product ; ( c ) retroactive price reductions that are actua lly allowed or granted ; ( d ) actual deductions to gross invoice price of the Licensed Product imposed by Regulatory Authorities or other Governmental Authorities speci fically identified on the applicable invoice and no t subsequently reimbursed or credited by Regulatory A uthorities or other Governmental Authorities ; ( e ) the amount invoiced to cover bad debt, prov ided that such amount shall not exceed [ * * * ] percent ( [ * * * ] % ) of the underlying sales and such a mount shall be added back to Net Sales if and when collected ; ( f ) reasonable and customary transportation cha rges and other charges directly related thereto, such as insurance, in each case, to the extent actu ally incurred and not charged to or reimbursed by t he customer ; ( g ) reasonable and customary freight and insura nce costs incurred with respect to the shipment of Licensed Product to customers, in each case if c harged separately and invoiced to the customer ; and ( h ) sales, use, value - added, excise and other s imilar taxes ( excluding income taxes ), all to the extent added to the sales price and paid and not re fundable in accordance with Applicable Law