Advertisement
YOU ARE HERE: LAT HomeCollectionsNational

McCain may have conflict brewing

His wife owns a beer distributor that has engaged in lobbying.

June 22, 2008|Ralph Vartabedian, Times Staff Writer

Aside from the labeling issue, Hensley has begun distributing controversial products known as flavored malt beverages, which critics call "alcopops" because of their similarity to soda pop.

The beer industry, including Hensley, tried unsuccessfully to block liquor makers from getting into the market for the drinks.


Advertisement

Douglas Yonko, a Hensley vice president, wrote to the Treasury Department on that issue in 2003, asking the agency to avoid dealing "a severe blow to beer wholesalers" by blurring the line between the beer and liquor industries.

In 2006, the Treasury Department issued rules classifying the flavored drinks as beer, though up to 49% of the alcohol in them can be from distilled spirits.

The beer industry, including Hensley, responded by also moving into the market with such products as Tilt, a caffeinated alcoholic drink made by Anheuser-Busch.

Critics say the product is directed mainly at youth and can leave them wide awake without knowing they are intoxicated. Other flavored malt beverages contain sweet fruit flavors that block the taste of alcohol.

"These products are starter beverages, intended to introduce consumers to alcohol and alcohol brands," said George Hacker, director of the Alcohol Policies Project at the Center for Science in the Public Interest.

It is not clear exactly how Cindy McCain could avoid such controversy, but a range of public interest groups say she should separate herself and her husband from Hensley -- no doubt a difficult and emotional issue for any heir to a family business.

Charles A. Hurley, chief executive of Mothers Against Drunk Driving, said his organization would be watching carefully if a future McCain administration exercised influence on any alcohol issues.

"I believe she would have to put that stuff in a blind trust of some kind," Hurley said, "where she would not be involved."

Other experts, however, question whether a blind trust would go far enough to insulate a McCain administration, since the ownership would still benefit the family.

--

ralph.vartabedian @latimes.com

--

Times staff writer Maeve Reston contributed to this report.

Los Angeles Times Articles
|