[Federal Register Volume 65, Number 201 (Tuesday, October 17, 2000)]
[Notices]
[Page 61337]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 00-26648]



[[Page 61337]]

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FEDERAL TRADE COMMISSION.

[File No. 982 3035]


Weider Nutrition International, Inc.; Analysis to Aid Public 
Comment

AGENCY: Federal Trade Commission.

ACTION: Proposed consent agreement.

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SUMMARY: The consent agreement in this matter settles alleged 
violations of federal law prohibiting unfair or deceptive acts or 
practices or unfair methods of competition. The attached Analysis to 
Aid Public Comment describes both the allegations in the draft 
complaint that accompanies the consent agreement and the terms of the 
consent order--embodied in the consent agreement--that would settle 
these allegations.

DATES: Comments must be received on or before November 6, 2000.

ADDRESSES: Comments should be directed to: FTC/Office of the Secretary, 
Room 159, 600 Pennsylvania Ave., NW., Washington, DC 20580.

FOR FURTHER INFORMATION CONTACT: Richard Cleland or Lemuel Dowdy, FTC/
S-4002, 600 Pennsylvania Ave., NW., Washington, DC 20580; (202) 326-
3088 or 326-2981.

SUPPLEMENTARY INFORMATION: Pursuant to section 6(f) of the Federal 
Trade Commission Act, 38 Stat. 721, 15 U.S.C. 46 and Section 2.34 of 
the Commisison's Rules of Practice (16 CFR 2.34), notice is hereby 
given that the above-captioned consent agreement containing a consent 
order to cease and desist, having been filed with and accepted, subject 
to final approval, by the Commission, has been placed on the public 
record for a period of thirty (30) days. The following Analysis to Aid 
Public Comment describes the terms of the consent agreement, and the 
allegations in the complaint. An electronic copy of the full text of 
the consent agreement package can be obtained from the FTC Home Page 
(for October 5, 2000), on the World Wide Web, at ``http://www.ftc.gov/
os/2000/09/index.htm.'' A paper copy can be obtained from the FTC 
Public Reference Room, Room H-130, 600 Pennsylvania Avenue NW., 
Washington, DC 20580, either in person or by calling (202) 326-3627.
    Public comment is invited. Comments should be directed to: FTC/
Office of the Secretary, Room 159, 600 Pennsylvania. Ave., NW., 
Washington, DC 20580. Two paper copies of each comment should be filed, 
and should be accompanied, if possible by a 3\1/2\-inch diskette 
containing an electronic copy of the comment. Such comments or views 
will be considered by the Commission and will be available for 
inspection and copying at its principal office in accordance with 
section 4.9(b)(6)(ii) of the Commission's Rules of Practice (16 CFR 
4.9(b)(6)(ii)).

Analysis of Proposed Consent Order To Aid Public Comment

    The Federal Trade Commission has accepted an agreement to a 
proposed consent order from Weider Nutrition International, Inc. 
(hereinafter ``Weider'').
    The proposed consent order has been placed on the public record for 
thirty (30) days for the reception of comments by interested persons. 
Comments received during this period will become part of the public 
record. After thirty (30) days, the Commission will again review the 
agreement and any comments received and will decide whether it should 
withdraw from the agreement and take other appropriate action or make 
final the agreement's proposed order.
    This matter involves advertisements for a dietary supplement called 
PhenCal or PhenCal 106. Advertisements claimed that PhenCal and PhenCal 
106 have been proven to cause weight loss and to prevent the regaining 
of lost weight. These advertisements appeared in major newspapers such 
as the New York Times, the Washington Post, and USA Today.
    The proposed complaint alleges that Weider could not substantiate 
claims that PhenCal and PhenCal 106: (1) Cause significant weight loss; 
(2) significantly increase a person's ability to maintain a reduced 
caloric diet and exercise program; (3) significantly reduce food 
cravings and eating binges; (4) prevent the regaining of lost weight; 
(5) are as effective as the prescription weight loss treatment commonly 
known as ``Phen-Fen''; and (6) are safe when used to promote or 
maintain weight loss. The complaint also alleges that Weider made false 
representations that claims (1), (3), (4), (5), and (6) above, had been 
scientifically proven.
    The proposed consent order contains provisions designed to prevent 
the respondent from engaging in similar acts and practices in the 
future.
    Part I of the proposed order requires respondent, when advertising 
any food, drug, dietary supplement or program, to possess competent and 
reliable scientific evidence before making claims (1) through (6) 
above.
    Part II of the proposed order requires respondent, when advertising 
any food, drug, dietary supplement, or program, to possess competent 
and reliable scientific evidence before making claims relating to--
    A. The safety of such product or program;
    B. The effect of such product or program on any disease; or
    C. The comparative or superior health benefit of such product or 
program with respect to any other product or program.
    Part III prohibits respondent from misrepresenting the existence, 
contents, validity, results, conclusions, or interpretations of any 
test, study or research in an advertisement for any food, drug, dietary 
supplement or program.
    Part IV allows the respondent to make representations for any drug 
that are permitted in labeling for that drug under any tentative final 
or final Food and Drug Administration (``FDA'') standard or under any 
new drug application approved by the FDA.
    Part V allows the respondent to make representations for any 
product that are specifically permitted in labeling for that product by 
regulations issued by the FDA under the Nutrition Labeling and 
Education Act of 1990.
    Part VI requires respondent to pay $400,000 to the Commission. 
These funds will be used for consumer redress or, if that is 
impracticable, the funds will be paid to the United States Treasury.
    Part VII requires respondent to retain, and make available to the 
Commission, upon request, all advertisements and promotional materials 
containing any representation covered by the order, as well as any 
materials that it relied upon in disseminating the representation and 
any materials that contradict, qualify, or call into question the 
representation.
    The remainder of the proposed order contains standard requirements 
that the respondent distribute the order to relevant personnel, that 
respondent notify the Commission of any changes in corporate structure 
that might affect compliance with the order and that the respondent 
file one or more reports detailing its compliance with the order.
    The purpose of this analysis is to facilitate public comment on the 
proposed order, and it is not intended to constitute an official 
interpretation of the agreement and proposed order, or to modify in any 
way its terms.

    By direction of the Commission.
C. Landis Plummer,
Acting Secretary.
[FR Doc. 00-26648 Filed 10-16-00; 8:45 am]
BILLING CODE 6750-01-M