definiens: means the gross amounts billed or invoiced by Cutia, its Affiliates and their respective sublicensees for sales of Licensed Products to Third Parties, less the following deductions to the extent reasonable, customary, and actually allowed and taken with respect to such sales : ( a ) trade, cash or quantity discounts not already reflected in the amount invoiced, to the extent related to the gross amount billed or invoiced ; ( b ) price reductions, rebates and administrative fee s ( including those paid or credited to pharmacy benefit managers, governmental authorities or otherwise ) ; ( c ) shipping costs, including freight, insurance and other transportation charges or costs incurred in shipping of Licensed Products to Third Parties ( provided that, such shipping costs shall not be in excess of one percent ( 1 % ) of Net Sales with respect to any given Calendar Quarter ) ; ( d ) sales, use, excise, value -added or similar taxes, customs duties and other governmental fees, charges and surcharg es imposed on the sale of Licensed Products ; 7 222330578 v11 ( e ) amounts repaid or credited by reason of rejections, defects, recalls or returns ; ( f ) amounts paid or credited for wholesaler chargebacks ; and ( g ) any receivables that have been included in gross sales and are deemed to be uncollectible according to Accounting Standards ( any such bad debt deductions shall be applied to Net Sales in the period in which such receivables are written off ) ( provided that, the amount of such receivables shall n ot be in excess of two percent ( 2 % ) of Net Sales with respect to any given Calendar Quarter )