Example of too much Thermal Paste

 
Too much Thermal Paste can degrade the cooling performance.
 
The Thermal Paste is not meant to be a layer of separation between the top of the CPU and the base plate of the CPU Cooler.
 
Ideally you would want to have metal to metal contact for best heat dissipation, with the Thermal Paste filling out the surface imperfections and removing the air bubbles.
 
Air is a poor conductor of heat.
 
The picture below shows an example of applying too much Thermal Paste.
 
 
The excess Thermal Paste may spill over the top of the CPU like this.
 
 
This is very dangerous.
 
The Arctic Silver 5 Thermal Paste may come in contact with pins and leads, causing problems.