IF(AND(PICKLIST to update formula field can't get it to work.

I have the following code for a formula field. I have 3 different picklist fields that if have the values below should add two files together. I can't seem to get this part to work. The code works fine without it. Take a look at the second line in particular. Let me know what I am doing wrong or if I need to write this a different way.

IF(ISPICKVAL( Product__c , "Hosting Only"), Annual_Hosting_Amount__c ,

IF(AND(ISPICKVAL( Product__c , "EMS"),(ISPICKVAL(Billing__c , "Perpetual"), (ISPICKVAL(License_Delivery__c, "Hosted” ),((Annual_Hosting_Amount__c) + (Software_Discount_Total__c)) ,

IF(ISPICKVAL( Billing__c , "Subscription"), Software_Discount_Total__c,

IF(ISPICKVAL( Billing__c , "Migration"), Annual_Hosting_Amount__c ,

IF(ISPICKVAL( Billing__c , "Perpetual"), (Software_Discount_Total__c)*(1.66/3),Null)))))))

Thanks,

Eric