5. 8.87 Official Journal of the European Communities No L 215/17 COMMISSION REGULATION (EEC) No 2365/87 of 29 July 1987 on detailed rules for showing in accounts expenditure consequent on specific disposals of butter from public stocks THE COMMISSION OF THE EUROPEAN COMMUNITIES, Having regard to the Treaty establishing the European Economic Community, Having regard to Council Regulation {(EEC) No 729/70 of 21 April 1970 on the financing of the common agricul- tural policy (') as last amended by Regulation (EEC) No 3769/85 (%), and in particular Articles 4 (4) and 5 (3) thereof, Whereas Council Regulation (EEC) No 1883/78 of 2 August 1978 laying down general rules for the financing of interventions by the European Agricultural Guidance and Guarantee Section (*), as last amended by Regulation (EEC) No 801/87 (*), and in particular Article 4 (1) thereof, - stipulates that where intervention entails buying in and storage of products, the amount financed is determined by the annual accounts established by the intervention agencies, but that, in the case of certain specific butter disposal schemes, the financing of losses incurred on sales is deferred and that the deferred financing attracts interest ; Whereas Article 6 of Commission Regulation (EEC) No 3184/83 of 31 October 1983 on the operation of the system of advances in respects of expenditure financed by the EAGGF Guarantee Section (), as amended by Regula- tion (EEC) No 3462/85 () lays down the method to be followed for declaration of expenditure consequent upon public intervention ; whereas special rules should be laid down in respect of the disposal of butter provided for by Regulation (EEC) No 1883/78; Whereas there should be established a method of calcula- tion of financing costs to be borne by virtue of Regulation (EEC) No 1883/78, which enables these costs to be entered in accounts on a monthly basis and which allows for amounts not yet reimbursed ; Whereas it is expedient to determine what treatment should be applied to any discrepancies between expendi- ture charged to the accounts for a year under Article 98 of the Financial Regulation of 21 December 1977 () and that recognized by the Commission when clearing the accounts as regards this deferred financing; () OJ No L 94, 28. 4. 1970, p. 13. () OJ No L 362, 31. 12. 1985, p. 17. () OJ No L 216, 5. 8. 1978, p. 1. () OF No L 79, 21. 3. 1987, p. 14. () OJ No L 320, 17. 11. 1983, p. 1. () OJ No L 332, 10. 12. 1985, p. 25. () OJ No L 356, 31. 12. 1977, p. 1. Whereas the measures provided for in this Regulation are in accordance with the opinion of the Fund Committee, HAS ADOPTED THIS REGULATION : Article 1 By way of derogation from Article 6 (2) of Regulation (EEC) No 3184/83 the amount of losses referred to in the second subparagraph of Article 4 (1) of Regulation No 1883/78 shall be drawn, from 1989 onwards, as provided below. Article 2 The amount of losses referred to in the second subpara- graph of Article 4 (1) of Regulation (EEC) No 1883/78, calculated in accordance with the third subparagraph using from No 1 annexe hereto shall be deducted from the expenditure declared in Annex II to Regulation (EEC) No 3184/83 and in Table IX of Commission Regulation (EEC) No 1723/72 (%), and, accordingly, shall be excluded from the amount to be drawn in accordance with Article 6 (2) of Regulation (EEC) No 3184/83. Article 3 From the financial year 1989 onwards, the Member States shall draw, in the first quarter of each financial year, one quarter of the total of the amounts referred to in Article 2 and shall declare this amount as expenditure for the month during which the sum is drawn. ‘ Article 4 1. For the financial years 1987 and 1988, the financing costs relating to the amounts referred to in Article 2 shall be calculated in accordance with form No 2 annexed hereto and drawn monthly. ' 2. From the financial year 1989, onwards, after deduc- tion of the financing which is to take place in the first quarter, the financing costs shall be calculated on the resi- dual amounts in accordance with column (a) of form No 3 annexed hereto and drawn in equal monthly tranches. () OJ No L 186, 16. 8. 1972, p. 1.