Charlotte';s Web Issues Statement on Hemp CBD Regulation

Rhea-AI Summary

Charlotte's Web Holdings, Inc. (CWBHF) addressed the FDA's recent announcement on January 26, 2023, which highlights the need for congressional action regarding the regulation of hemp-derived cannabidiol (CBD). The company supports FDA's call for regulation, noting the CBD industry has evolved without clear guidelines. Charlotte's Web emphasizes its commitment to quality and safety through extensive testing and self-regulation. They recently achieved NSF Certification for Sport®, ensuring their products meet high safety standards, particularly for athletes. The company continues to advocate for a legislative framework to enhance safety and quality in the CBD market.

Positive

• Charlotte's Web supports the FDA's call for congressional action on CBD regulation, signifying potential industry stabilization.
• The Company has achieved NSF Certification for Sport®, underscoring its commitment to product safety and quality for professional athletes.
• Charlotte's Web has conducted extensive safety studies, enhancing their credibility in the CBD industry.

Negative

• None.

DENVER, Jan. 27, 2023 /PRNewswire/ - (TSX: CWEB) (OTCQX: CWBHF) Charlotte's Web Holdings, Inc. ("Charlotte's Web" or the "Company"), the market leader in cannabidiol ("CBD") hemp extract wellness products issues the following statement regarding the FDA's January 26^th press announcement:

Charlotte's Web is encouraged that the Administration has agreed that it is necessary for Congress to act for the regulation of hemp-derived cannabidiol ("CBD"). The FDA position has taken four years to come together, while the CBD industry has matured without a clear regulatory pathway for CBD products that are already available for sale in all 50 states and consumed safely by millions of Americans. This includes professional athletes, veterans, and everyday wellness seekers. The Company looks forward to continuing its work in Washington DC to forward this process.

The Company also agrees with the FDA on the importance of testing to ensure the quality and safety of CBD products and has already provided studies to support this position. As the CBD pioneer and market leader, Charlotte's Web has engaged in safety studies and compiled toxicology data including liver safety. These studies have been conducted under an Institutional Review Board and Good Laboratory Practices, following guidelines of the Organization for Economic Co-operation and Development (OECD). They have been subjected to an unbiased peer review and published in journals and have been vetted and accepted for indexing in the PubMed central database.  These studies support the efforts of a legislative regulatory framework.

During this four-year period of regulatory absence, Charlotte's Web has set the standard in responsible self-regulation in product manufacturing, safety, and labeling. In addition to safety and toxicology studies the Company utilizes cGMP-compliant manufacturing facilities, seed-to-shelf testing, and certificate of analysis (COA) transparency for all products. Recently, Charlotte's Web became the first and only broad-spectrum CBD hemp extract to be NSF Certified for Sport®, the gold standard to ensure safe and consistent products for professional athletes and consumers alike.

 Subscribe to Charlotte's Web investor news.

About Charlotte's Web Holdings, Inc.

Charlotte's Web Holdings, Inc., a Certified B Corporation headquartered in Denver, is the market leader in innovative hemp extract wellness products under a family of brands that includes Charlotte's Web™, CBD Medic™, and CBD Clinic™.  Charlotte's Web whole-plant CBD extracts come in full-spectrum and broad-spectrum (THC-free) options, including the world's only broad-spectrum CBD certified NSF for Sport®, which is the official CBD of Major League Baseball©. Founded by the seven Stanley Brothers, ignited the CBD industry when they came to global prominence with the coverage of a young girl's astounding reaction to their hemp extract. Their advocacy changed laws, public perception, and research around the vast health potential of plant-based solutions. The Stanleys built their business with the mission to bring safe, botanical options to health seekers worldwide. Charlotte's Web branded premium quality products start with proprietary hemp genetics that are American farm-grown using organic and regenerative cultivation practices. The Company's hemp extracts have naturally occurring botanical compounds including cannabidiol ("CBD"), CBC, CBG, terpenes, flavonoids, and other beneficial compounds. The Company's CW Labs R&D division advances hemp science at a center of excellence in Louisville, Colorado. Charlotte's Web product categories include CBD oil tinctures (liquid products) CBD gummies (sleep, stress, exercise recovery), CBD capsules, CBD topical creams and lotions, as well as CBD pet products for dogs.  Through its vertically integrated business model, Charlotte's Web maintains stringent control over product quality and consistency with 20+ product lot testing for quality assurance. Charlotte's Web products are distributed to more than 15,000 retailer locations, over 8,000 health care practitioners, and online through the Company's website at www.charlottesweb.com. 

© Major League Baseball trademarks and copyrights are used with permission of Major League Baseball. Visit MLB.com.

Forward-Looking Information

Certain information in this news release constitutes forward-looking statements and forward-looking information within the meaning of applicable securities laws (collectively, ‎‎"forward-looking information"). In some cases, but not necessarily in all cases, forward looking information can be identified by the ‎use of forward-looking terminology such as "plans", "targets", "expects" or "does not expect", "is expected", "an opportunity exists", ‎‎"is positioned", "estimates", "intends", "assumes", "anticipates" or "does not anticipate" or "believes", or variations of such words and ‎phrases or state that certain actions, events or results "may", "could", "would", "might", "will" or "will be taken", "occur" or "be ‎achieved". In addition, any statements that refer to expectations, projections or other characterizations of future events or ‎circumstances contain forward-looking information. ‎

Statements containing forward-looking information are not historical facts, but instead represent management's current ‎expectations, estimates and projections regarding the future of our business, future plans, strategies, projections, anticipated events ‎and trends, the economy and other future conditions. Forward-looking information is necessarily based on a number of opinions, ‎assumptions and estimates that, while considered reasonable by the Company as of the date of this news release, are subject to ‎known and unknown risks, uncertainties, assumptions and other factors that may cause the actual results, level of activity, ‎performance or achievements to be materially different from those expressed or implied by such statements containing forward-looking information. Although these statements containing forward-looking information are based on assumptions the Company considers to be reasonable based on the information ‎available on the date such statements are made, such statements are not guarantees of future performance and readers are cautioned ‎against placing undue reliance on forward-looking information. 

The material factors and assumptions used to develop the forward-looking information herein include, but are not limited to, international and political considerations; regulatory changes; ‎and the factors discussed throughout the "Risk Factors" section of the Company's most recently filed annual information form available on www.SEDAR.com and in the Company's most recently filed Annual Report on Form 10-K and quarterly report on Form 10-Q as amended, and other filings with the Securities and Exchange Commission available on www.SEC.gov. Except as required by applicable securities laws, the Company undertakes no obligation to publicly update any forward-looking information, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.

Charlotte's Web Holdings, Inc. 

THE WORLD'S MOST TRUSTED HEMP EXTRACT™ 

View original content to download multimedia:https://www.prnewswire.com/news-releases/charlottes-web-issues-statement-on-hemp-cbd-regulation-301732694.html

SOURCE Charlotte's Web Holdings, Inc.

FAQ

What is Charlotte's Web's position on FDA regulations for CBD products as of January 2023?

Charlotte's Web supports the FDA's call for congressional action to regulate hemp-derived cannabidiol (CBD), emphasizing the need for clear guidelines in the matured CBD industry.

What recent certification did Charlotte's Web achieve for its CBD products?

Charlotte's Web recently became the first and only broad-spectrum CBD hemp extract to be NSF Certified for Sport®, ensuring product safety for athletes.

What studies has Charlotte's Web conducted to support CBD product safety?

Charlotte's Web has engaged in safety studies and compiled toxicology data, including liver safety studies, which have been peer-reviewed and published.

How has Charlotte's Web demonstrated its commitment to quality in CBD manufacturing?

Charlotte's Web uses cGMP-compliant facilities, seed-to-shelf testing, and provides transparency through certificates of analysis (COA) for its products.