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October 2004 Issue Highlights

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121-013
Colorado-Wyoming Petroleum Marketers Association Meeting

126-043
Western Carwash Association Convention

Want to see the photos that didn't make the issue? Check out the Cutting Room Floor.

AriZona Rx Sued By California Group
Hawaii Street Fuel Prices Hit New Highs
Car Wash Cited for Noise Violation
Idaho Station Shut For Old Fuel Leak

ARIZONA RX SUED BY CALIFORNIA GROUP

LOS ANGELES, CA. — The manufacturers of the AriZona Rx Herbal drink line are being sued for allegedly misleading consumers into believing that the beverages have health benefits.

The drink bottles, which are marketed in many convenience stores, include names such as "Power" and "Relax" and include herbal ingredients in addition to their traditional ice tea elements.

Four Californians are suing Ferolito Vultaggio & Sons, the manufacturers of the drink line, and Hornell Brewing Company, its distributor, as well as asking for class action status for the case to include anyone who has consumed or purchased the AriZona Rx products since 2002.

Attorney for the plaintiffs Paul Cook, Waters & Kraus LLP, said they believe AriZona is in violation of California's unfair competition and false advertising laws because the plaintiffs did not feel more powerful, energetic, relaxed, healthy, or intelligent after drinking the beverages, despite the claims on the packaging.

"The label gives you the impression that they will give you medicinal value — which they don't," stated Cook.

The case will be heard in Los Angeles Superior Court.

HAWAII STREET FUEL PRICES HIT NEW HIGHS

HONOLULU, HI. — Gasoline prices in Hawaii are hitting an all-time high.

According to Hawaii's AAA report, average gasoline prices statewide at the end of August hit an all-time record at $2.366 per gallon, an increase of over 20 cents per gallon over last year.

Honolulu also hit a new high for the city's average gasoline prices at the end of August with an average of $2.266 per gallon, up from $2.051 a year earlier.

Wailuku, Maui just missed setting a new record with street prices at the beginning of September averaging $2.649 per gallon, just short of the record $2.669 — set at the end of June.

CAR WASH CITED FOR NOISE VIOLATION

LOS ANGELES, CA. — Palisades Gas and Wash has been forced to add approximately $10,000 of modifications to the car wash to lower noise levels at the facility.

John Zisk, operations manager of Palisades Gas and Wash, said he began modifications on the car wash after he was cited earlier this year in the upscale neighborhood.

So far, the facility has replaced older air compressors operating the drying unit with newer, quieter units. They have also added an insulated duct on the dryer.

If these actions don't bring the facility into compliance, Zisk said they will lower the speed on the line to make it run slower in an attempt to reduce noise levels.

In the Palisades Community Council area, the noise limit for a car wash has been legally set at 65 decibels between 7:00 a.m. and 10:00 p.m. with a one-decibel variable.


IDAHO STATION SHUT FOR OLD FUEL LEAK

ASHTON, ID. — For over a year an Ashton gasoline station has not been allowed to sell fuel because of a reported leak.

Bill and Debbie Kersssen who lease the station said they've taken the necessary steps to prevent a gasoline leak and the fuel in question was leaked years ago from several sources, but not from their station.

"In truth, were they to check anywhere in the community, they would probably find old gasoline products," Bill Kerssen said.

The Department of Environmental Quality says a gasoline leak has forced the department to ask the owners to stop selling gas, and now the state of Idaho is suing the owners, Braveheart LLC of Wyoming, claiming they haven't made an effort to clean up the leaked fuel.

Kerssen said they've lost over a million dollars a year in gross revenue because they can't sell gasoline.

Originally published in the October 2004 issue of O&A Marketing News.
Copyright 2004 by KAL Publications Inc.

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