Cronos Group Inc (CRON)

[oatsuzn]

Yes, but when a hemp plant is grown it's known to have a certain level of THC and CBD per entire plant. But the first step in creating CBD vape oil is processing the hemp by separating low CBD portions(seeds, stalks, stems) from the high CBD portions(flowers and leaves). The low CBD portions aren't worth processing thru the extractor, they're either sold for fiber etc or discarded. The flowers/leaves left to be processed are by default >.3% THC by weight. So the oils that are initially extracted would be >.3% THC and deemed non-compliant/illegal. The oil would then need to be diluted/processed/tested to meet the DEA's .3% THC guideline. A company as large as Altria would most likely be responsible for vats of this oil and they're just not gonna get involved in this while it's in the grey area.

I checked around, looking for any nationally distributed CBD vape pens sold in gas stations. I found lots of oil droppers and tinctures sold in gas stations but no nationally distributed vape pens. The FDA plays a part in this as well. The FDA still hasn't ruled on CBD drinks and food ingredients. CBD is allowed only in pre-packaged food/drinks and outlawed in restaurants/bars/coffee shops pending their ruling. Basically, it's a whole lotta bs and I don't blame Altria for sitting out right now. Launching this less expensive, high quality cosmetic product marketed to women by an A list celeb is the way to go right now. I doubt she's getting a percentage cut on the sales, they probably just cut her a one time check or maybe shares. Who knows? All up to her and her agent to negotiate.