Article 2
1. Where the maximum guaranteed quantity for a variety or a group of varieties is exceeded, a reduction of 1 % of the intervention price and the related premiums shall be applied for each 1 % by which the maximum guaranteed quantity is exceeded. However, the reductions may not exceed 5 % for the 1988 harvest and 15 % for the 1989 and 1990 harvests. 2. For the purposes of calculating the derived intervention price, the reduction shall not apply to the costs referred to in Article 6 (2) of Regulation (EEC) No 727/70. 3. The norm price shall be corrected by an amount equal to the reduction in the premium. 4. Where the preceding paragraphs are applied, the Commission shall determine, at the same time as actual production, the prices and premiums to be paid for the harvest concerned.