Kashi to Drop All Natural, Nothing Artificial Health Claims

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Kellogg (K) will remove “All Natural” and “Nothing Artificial” labels from its Kashi products by the end of the year.

kashi-k-stockKellogg has decided to remove these labels from its Kashi products to settle a class-action lawsuit. The lawsuit was filed against Kellogg because products with the natural labels did in fact contain artificial ingredients. The company will also being paying $5 million as part of the settlement, reports the Associated Press.

Kellogg states that it will change the formulas or labels on its Kashi products by the end of the year. Some of the artificial ingredients that are included in Kellogg products are pyridoxine hydrochloride, calcium pantothenate, hexane-processed soy ingredients, ascorbic acid, glycerin and sodium phosphate, the Associated Press notes.

Customers in California that have purchased Kashi products from August 2007 up to the settlement date of the lawsuit will be able to receive 50 cents for each package bought with proof of purchase. California customers without proof of purchase can also get money back, but they are limited to $25 per household, reports Law360.

Kashi’s Bear Naked brand is set to pay $325,000 to settle a separate lawsuit that is over a similar matter.

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Article printed from InvestorPlace Media, https://investorplace.com/2014/05/kashi-k-stock/.

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