diff --git a/server/src/com/cloud/capacity/CapacityManagerImpl.java b/server/src/com/cloud/capacity/CapacityManagerImpl.java
index 779c0ef96b1..b0d525999e9 100755
--- a/server/src/com/cloud/capacity/CapacityManagerImpl.java
+++ b/server/src/com/cloud/capacity/CapacityManagerImpl.java
@@ -542,9 +542,9 @@ public class CapacityManagerImpl extends ManagerBase implements CapacityManager,
         ClusterDetailsVO clusterDetailRam = _clusterDetailsDao.findDetail(cluster.getId(), "memoryOvercommitRatio");
         Float clusterCpuOvercommitRatio = Float.parseFloat(clusterDetailCpu.getValue());
         Float clusterRamOvercommitRatio = Float.parseFloat(clusterDetailRam.getValue());
-        Float cpuOvercommitRatio = 1f;
-        Float ramOvercommitRatio = 1f;
         for (VMInstanceVO vm : vms) {
+            Float cpuOvercommitRatio = 1f;
+            Float ramOvercommitRatio = 1f;
             UserVmDetailVO vmDetailCpu = _userVmDetailsDao.findDetail(vm.getId(), "cpuOvercommitRatio");
             UserVmDetailVO vmDetailRam = _userVmDetailsDao.findDetail(vm.getId(),"memoryOvercommitRatio");
             if (vmDetailCpu != null ) {
@@ -562,6 +562,8 @@ public class CapacityManagerImpl extends ManagerBase implements CapacityManager,
             s_logger.debug("Found " + vmsByLastHostId.size() + " VM, not running on host " + host.getId());
         }
         for (VMInstanceVO vm : vmsByLastHostId) {
+            Float cpuOvercommitRatio = 1f;
+            Float ramOvercommitRatio = 1f;
             long secondsSinceLastUpdate = (DateUtil.currentGMTTime().getTime() - vm.getUpdateTime().getTime()) / 1000;
             if (secondsSinceLastUpdate < _vmCapacityReleaseInterval) {
                 UserVmDetailVO vmDetailCpu = _userVmDetailsDao.findDetail(vm.getId(), "cpuOvercommitRatio");