Average Dropsize Per Delivery definition

Average Dropsize Per Delivery means, for any period, the number of cases of Covered Products ordered for regularly scheduled deliveries divided by the number of regularly scheduled deliveries for such period. Cases that are ordered but not delivered because (i) the vendor is out of stock, or (ii) the cases ordered are not shipped to Seller in a timely manner and the Buyer is responsible for arranging or directing the manner of freight of such order to Seller, will not be considered in calculating the "Average Dropsize Per Delivery." The pricing adjustment shall be as follows: Average Drop Size Per Case Per Delivery Reduction/(Surcharge) The Drop Size will be calculated on an Exclusive Restaurant Basis each calendar quarter on an average basis (not a per drop basis) and shall be applied during the following quarter. Exclusive Restaurants that are "2nl" or "3nl" units shall be treated as one unit for purposes of Drop Size Adjustments.