Penalties in Fixed-Limit?

We noticed that the players in this Day 2 re-start seem a little grumpy today and that the number of calls for a floor person to come to a table seems high. Well, the players just heard this announcement.

"Ok, H.O.R.S.E. players, listen up," said the tournament director over the P.A. system. "I don't know what's going on today, but I've had to give seven penalties already today for opening hands ahead of time and talking about hands." He then added that under the new tracking system implemented this year, the penalties will get deeper and deeper each time, all the way through November.

"You wind up missing three rounds, that's a lot of chips," he reminded the players.