Charlotte's Web responds to new regulatory developments in California
Charlotte's Web says it stands in firm opposition to the new regulations in California that restrict the sale of many ingestible full-spectrum hemp CBD products that meet federal requirements. The company further adds that it will continue working directly with the Governor and state legislators to push for changes or new legislation to preserve consumer access to non-intoxicating hemp-derived products in California. Charlotte's Web is actively collaborating with industry group, One Hemp, and consumer advocacy group, Coalition for Access Now, to support access to hemp-derived wellness products in California. "While we fully support efforts to regulate synthetic and intoxicating products, we strongly oppose the inclusion of non-intoxicating, natural CBD products within this regulatory framework," said Bill Morachnick, Chief Executive Officer of Charlotte's Web. "We believe these regulations are overreaching and unnecessarily restrict access to safe, non-intoxicating hemp products by lumping them in with an entirely different class of products. Other states like Colorado and Virginia have set shining examples of how to clean up the market while safeguarding products that consumers depend upon for their health and wellness." The new regulations will directly impact the sale of many of Charlotte's Web's ingestible full-spectrum and broad-spectrum hemp extract CBD products in California. The impact is limited to California and is not anticipated to materially affect the company's overall 2024 sales and revenue. Charlotte's Web is evaluating the longer-term implications, alternatives and actions for California.
