Beverages

Sparks Fly in Lawsuit

Group sues MillerCoors over energy drink containing alcohol

WASHINGTON -- The nonprofit Center for Science in the Public Interest has filed suit against MillerCoors Brewing Co. over its alcoholic energy drink, Sparks. The product has more alcohol than regular beer and contains unapproved additives, including the stimulants caffeine and guarana. The lawsuit is asking the Superior Court of the District of Columbia to stop MillerCoors from selling the drink.

Sparks contain 6% to 7% alcohol by volume, as opposed to regular beer, which typically has 4% or 5% alcohol. The group said Sparks' appeals to young people because of its sweet, citrusy taste [image-nocss] and bright color, reminiscent of orange soda. (Sparks Light also contains the artificial sweetener sucralose). In October, MillerCoors plans to release Sparks Red, which will have 8% alcohol by volume.

Sparks' website and "guerilla" marketing appeal to young consumers, according to the group. The website offers a recipe for a drink called a "Lunchbox," consisting of half Miller beer and half Sparks, and elsewhere, the site proposes consuming Sparks for breakfast alongside omelets. The company also hosts giveaways of Sparks at house parties, sponsors events unrelated to beer such as art shows, and engages in other unconventional marketing practices, according to The Milwaukee Journal Sentinel. CSPI's court filing notes that private gatherings such as house parties do not have the same licensing or other safeguards as public establishments that prevent minors from accessing alcohol.

The center's lawsuit also contends that it is illegal to use caffeine, guarana, ginseng and taurine in alcoholic beverages. The federal agency with primary responsibility for regulating alcoholic beverages, the Treasury Department's Tax & Trade Bureau, says alcoholic beverages may contain only ingredients considered General Recognized as Safe, or GRAS, by the Food & Drug Administration. But the FDA has given only very narrow approval for caffeine and guarana—with no allowance for alcoholic drinks—and no approval for ginseng in any food or beverage. Taurine is only approved for use in chicken feed, not human food, the organization claims.

In February, the Center for Science in the Public Interest notified Anheuser-Busch and Miller of its intent to sue both companies over caffeinated alcoholic drinks. In June, A-B entered into separate agreements with the organization and 11 state attorneys general in which the brewer agreed to take caffeine and other unapproved additives out of its two alcoholic energy drinks, Bud Extra and Tilt. Anheuser-Busch paid the 11 states $200,000 to reimburse them for the cost of the investigation and called on other brewers and distillers not to market pre-packaged caffeinated alcoholic drinks.

MillerCoors, a joint venture of SABMiller PLC and Molson Coors Brewing Co., declined to comment on the suit, added a Wall Street Journal report. But spokesperson Julian Green told the newspaper that "it is important to note" that the Treasury Department had approved all formulas and labels for Sparks, Sparks Light and other versions of the drink. "We have and we will continue to ensure that the labeling, marketing and product formulations of all our brands meet all applicable federal regulations and that our brands are marketed responsibly to legal drinking age adults," he said in a prepared statement.

But MillerCoors seems to be taking a firm stance against moves by regulators and consumer groups to curtail Sparks, said the Journal. The brewer has more at stake with Sparks than A-B did with its Tilt and Bud Extra , which A-B pledged to reformulate. Sparks is the No. 1 selling drink in the caffeinated alcoholic-beverage category, with 60% market share, and SABMiller paid $215 million to acquire the brand and other products from McKenzie River Corp. in 2006, said the report.

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