The maker of the sweet alcoholic drink Four Loko will put an "alcohol facts panel" on the back of cans containing more than two servings of alcohol, to settle the Federal Trade Commission's (FTC) charges of deceptive marketing.
The panel will be similar to the nutritional facts label found on foods, the Associated Press reports. It will disclose the alcohol by volume, and the number of servings in the can.
According to a FTC news release, the drink's maker, Phusion Projects, must redesign cans with more than two-and-a-half servings of alcohol so they can be resealed. This new design will encourage drinkers not to consume the entire can in one sitting.
The agency noted it does not have the jurisdiction to ban Four Loko, or to force the company to limit its size or alcohol content.
The FTC had said Four Loko ads implied the 23.5-ounce can was equal to one or two regular 12-ounce beers, but is really more like four or five beers, the article notes. The cans contain up to 12 percent alcohol.
The commission had wanted to require Phusion to put new labels on drinks with more than two-and-a-half servings of alcohol, but changed the requirement to cans with more than two servings of alcohol, based on public comments about the dangers of supersized drinks.
The FTC also wanted to require a label on the front of the can that compared the amount of alcohol in Four Loko to a regular beer. It dropped that recommendation after some critics said it could lead to binge drinking, by suggesting the drink was a fast, inexpensive way to get drunk.
Four Loko originally contained caffeine and alcohol. Following warnings by the Food and Drug Administration, Phusion Projects removed caffeine from the drink.
Caffeinated alcoholic beverages (CAB's) or Alcohol energy drinks (AED's) are premixed beverages that contain not only alcohol but also include caffeine and other stimulants. Sold in tall, narrow cans similar to non-alcoholic energy drinks, which are popular drinks among teens, they carry teen-friendly names and contain a lot of sugar and flavoring. A typical can has about as much caffeine as a large cup of coffee, along with additives like guarana and ginseng that can speed up the central nervous system. Click here to read more.