[ic] Discount tag bug?

[Music]

I am setting a discount on items by minusing a specific amount from a data 
table.

[discount [loop-code]] $s - [loop-data merchandising 
newdiscountfield][/discount]

This works very well while there is only one item in the cart however as 
soon as quantity is set to more than one the discount fails with only a 
discount for one item being applied.

Example:
Item Price is $9.95

After the discount tag is applied  (in this example -1.00) the item price is 
set to $8.95

However if the quantity for this item is increased to two items then the 
sub-total is $18.90   (still only $1 discount)

Is this a bug or am I missing something?