TTB Ruling 2004-1 FAQs

The statement of average analysis may refer to either the 10 fl. oz. container size or the 12 fl. oz. serving size. You may use a statement of average analysis that is stated per container size if the container is equal to or less than a single serving size. Thus, the label for this product may state the average analysis per 10 fl. oz. container. However, if you wish, you may instead use the serving size (12 fl. oz.) in the statement of average analysis.

Yes.

As of the compliance date for advertisements, September 1, 2004, the ruling requires the use of statements of average analysis in advertisements that contain caloric or carbohydrate representations. Furthermore, TTB will evaluate advertisements on a case-by-case basis to determine whether they tend to mislead consumers by implying that consumption of the alcohol beverage is a healthy part of a weight reduction or weight maintenance plan, or that consumers may drink more of such beverages because of their low calorie or carbohydrate content.

If you have questions about whether your proposed advertisements comply with the requirements of the ruling, we encourage you to submit the advertising materials for review by TTB prior to use. Upon request, we will provide written pre-clearance of the advertising materials, thus protecting you from exposure to charges of willful violations of the advertising provisions of the Federal Alcohol Administration Act (FAA Act).

In general, on or after September 1, 2004, we will consider it a violation of the regulations to publish or disseminate advertising materials that do not comply with the provisions of the ruling. If you have already printed the advertising materials, and they have not been disseminated to retailers or consumers prior to September 1, 2004, you will need to bring these advertisements into compliance with the requirements of the ruling. On the other hand, if you disseminated consumer specialty items to retailers two years ago, and these materials do not comply with the ruling, the ruling does not require you to retrieve those items from the marketplace.

If you have already printed advertising materials that you wish to disseminate or publish on or after September 1, 2004, please note that TTB will consider individual "use-up" requests from industry members on a case-by-case basis. Such requests should be made well in advance of September 1, 2004. We strongly encourage industry members to come to TTB with use-up requests rather than trying to avoid the requirements of the ruling by distributing large quantities of non-conforming advertising materials to retailers shortly before the effective date of the ruling.

TTB recognizes that the alcohol content of distilled spirits products may vary considerably. There are some good arguments for setting standardized serving sizes based on the alcohol content of the product. However, we believe that before we set permanent standards, we should engage in rulemaking to solicit comments from the public and the industry. Thus, pending any future rulemaking on this issue, and for the narrow purposes of TTB Ruling 2004-1, we are setting interim standards for serving sizes based on whether the product is a malt beverage, wine, or distilled spirits product, regardless of the alcohol content of the specific product.

TTB is not issuing any blanket "use-ups" for labels that do not comply with the requirements of the ruling. As always, industry members may request "use-ups" based on special circumstances. Such requests will be considered on a case-by-case basis. Any "use-up" requests should be submitted to TTB as early as possible, preferably by May 30, 2004.

The statement of average analysis may be placed anywhere in the advertisement as long as it is clearly a part of the advertisement and not separated in any manner from the remainder of the advertisement. See 27 CFR 7.53(c), 4.63(c) and 5.64(c). However, it must be in lettering or type size sufficient to be conspicuous and readlily legible. See 27 CFR 7.53(a), 4.63(a) and 5.64(a)). What is conspicuous and readily legible will be determined on a case by case basis.

You can mail questions to:

Alcohol and Tobacco Tax and Trade Bureau Labeling Team Washington, DC 20220

You can also call the ALFD Customer Service Team at (202) 453-2250, or toll free at (866) 927-ALFD (2533) between 8: 30am - 4: 30pm EST Monday through Friday (except Federal Holidays).

You may also e-mail your questions to alfd@ttb.treas.gov

The "low carbohydrate" designation is based on the serving size. TTB Ruling 2004-1 provides that TTB will approve the use of the term "low carbohydrate" (or "low carb") on labels and in advertisements where a statement of average analysis is present, and the standard serving size for the product (12 fl. oz. for malt beverages; 5 fl. oz. for wines, and 1.5 fl. oz. for distilled spirits) contains no more than 7 grams of carbohydrates. Thus, for example, if a product has 7 grams of carbohydrates per 10 fl. oz. bottle, it would have 8.4 grams of carbohydrates per 12 fl. oz. serving. This product would not qualify as a "low carbohydrate" alcohol beverage.

Assuming that the cans or bottles of beer within the case, carton, or carrier are appropriately labeled with a statement of average analysis, there is no requirement that you also put a statement of average analysis on a malt beverage case, carton or carrier.

TTB Ruling 2004-1 provides that as of September 1, 2004, any advertisement containing a caloric or carbohydrate representation must include a statement of average analysis. The ruling also states that the terms "light" and "lite" may be used as part of the brand name of a wine, distilled spirits product, or malt beverage, provided that if the term implies a caloric representation, the label or advertisement must include a statement of average analysis.

After careful consideration of this issue, TTB has decided that pending rulemaking on this issue, we will not enforce the provisions of the ruling with respect to advertisements in which the only reference to calories or carbohydrates is the use of a brand name including the term "light" or "lite." TTB recognizes that these brand names have been used for decades, and that many advertisements for such products do not include any other references to caloric or carbohydrate content. Accordingly, we believe that the issue of whether such advertisements should bear statements of average analysis should be aired through the rulemaking process.

Accordingly, pending rulemaking on this issue, we will not require industry members to put statements of average analysis on advertisements where the only caloric or carbohydrate representation appearing in such advertising materials is a brand name incorporating the term "light" or "lite." This applies to advertisements such as television and radio advertisements and print advertisements in newspapers and magazines, as well as indoor and outdoor neon signs, stadium signs, bar clocks, point of sale items, wearables, novelty or promotional items, consumer specialty items, signs on vehicles, race cars, or blimps, announcements at sporting or other events, or any other advertising materials. However, if the brand or product name, or the advertising material in general, includes any additional caloric or carbohydrate representations such as "low carb" or "low calorie", any specific calorie or carbohydrate claims, or similar representations, a statement of average analysis will be required as part of the advertising material.

Our traditional policy regarding the use of the term "light" or "lite" on labels is unchanged. If the words "light" and "lite" are used as part of the brand or product name of a wine, distilled spirits product, or malt beverage, and the terms imply a caloric representation, the label must include a statement of average analysis.

No.

The ruling allows the use of truthful and non-misleading abbreviated references to calorie or carbohydrate content in addition to, but not in lieu of, a statement of average analysis. These statements must be consistent with the statement of average analysis that appears elsewhere on the label.

The ruling's provisions with regard to advertisements take effect as of September 1, 2004. We believe that this provides industry members with an adequate period of time to use up any point-of-sale advertising materials that do not comply with the provisions of the ruling. However, we will consider individual "use-up" requests from industry members on a case-by-case basis. We encourage industry members to submit any such requests as early as possible.

Placement of the statement of average analysis on a web site will be determined on a case by case basis. Generally, if the statement appears on the web site's home page, it will meet the ruling’s requirement. However, if individual pages on the web site contain statements of caloric or carbohydrate representation, separate statements of average analysis may have to be included on those pages as well. We strongly recommend that industry members seek TTB guidance as soon as possible for planned advertising, including web page content, and for pre-clearance of web page content or other advertising materials.

For more information about advertising alcohol beverages, you may contact the Market Compliance Office at 202-453-2251 (option 4) or by fax at 202-453-2873, or by email at Market.Compliance@ttb.gov. You can mail questions to:

Alcohol and Tobacco Tax and Trade Bureau Assistant Director, Trade Investigations Division Market Compliance Office 1310 G Street, NW, Box 12 Washington, DC 20005

As long as you put a statement of average analysis on the label, you may also include other references to the carbohydrate content of the product. You may use the term "reduced carbohydrate" or "lower carbohydrate" or any similar term on a label that bears a statement of average analysis, as long as the term is used as part of a statement that specifies the number of carbohydrates per serving size, and compares that number with the number of carbohydrates in another specified product that you produce.

TTB Ruling 2004-1 takes effect immediately with respect to pending or new applications for label approval. However we recognize that there may be labels in the marketplace that are not in compliance with the ruling. We encourage holders of certificates of label approval to voluntarily surrender any such labels by September 1, 2004. After that date, we will take appropriate steps to revoke any certificates of label approval that are not in compliance with the provisions of this ruling.

No. The ruling and the advertising regulations apply only to advertisements published or disseminated by any person engaged in business as a producer, rectifier, blender, importer, or wholesaler of wine, a distiller, rectifier, importer or wholesaler of distilled spirits, or a brewer, wholesaler or importer of malt beverages, directly or indirectly, or through an affiliate.