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FOR IMMEDIATE RELEASE February 6, 2004 CONTACT: Adam Eidinger 202-232-8997,
202-744-2671 Eric Steenstra 703-729-2225 Breaking News!!!! - Satellite
Advisory for VNR Federal Court Rejects DEA Ban on Hemp Food Court Tells DEA it
Cannot Regulate Naturally-Occurring THC in Hemp Food Landmark Decision Opens Way
for Expansion of Hemp Food Industry SAN FRANCISCO, CA - U.S. COURT of APPEALS
for the NINTH CIRCUIT - The Hemp Industries Association (HIA), representing
over 200 hemp companies in North America won their 2 1/2-year old lawsuit today
against the Drug Enforcement Administration (DEA) in a decision that
permanently blocks DEA regulations that attempted to ban nutritious hemp foods such as
waffles, bread, cereal, vegetarian burgers, protein powder, salad dressing and
nutrition bars.

"The decision in HIA v. DEA is a huge boost to the hemp food market, and we
expect to see many more hemp food products on store shelves," says David
Bronner, maker of the AlpSnack® organic hemp nutrition bar and Chair of the HIA
Food and Oil Committee. "The three judge panel agreed with our main argument
that the DEA's 'Final Rule' ignores Congress's specific exemption in the
Controlled Substances Act (CSA) under the definition of marihuana that excludes hemp
seed and oil from control along with hemp fiber. Based on today's decision,
the court reasonably views trace insignificant amounts of THC in hemp seed in
the same way as it sees trace amounts of opiates in poppy seeds," says Bronner.

Background on the Hemp Food Court Decision Today's Ninth Circuit decision
permanently invalidates the DEA's "Final Rule," issued on March 21, 2003, that
was virtually identical to an "Interpretive Rule" issued by the DEA on October
9, 2001 that was invalidated by a Ninth Circuit court order issued on June 30,
2003. Please visit http://www.VoteHemp.com to view the Ninth Circuit ruling.

In the decision, Judge Betty Fletcher wrote, "[T]hey (DEA) cannot regulate
naturally-occurring THC not contained within or derived from marijuana-i.e.
non-psychoactive hemp is not included in Schedule I. The DEA has no authority to
regulate drugs that are not scheduled, and it has not followed procedures
required to schedule a substance. The DEA's definition of "THC" contravenes the
unambiguously expressed intent of Congress in the CSA and cannot be upheld."

During the final oral arguments held in San Francisco on September 17,
2003, the HIA argued that the DEA's "Final Rule" banning nutritious hemp
foods misinterprets the CSA. The judges were completely unconvinced by DEA
attorney Daniel Dormont's arguments that Congress did not exempt hemp seed from the
CSA even if the seed contains insignificant amounts of naturally-occurring
THC. According to the hearing transcript available at
http://www.votehemp.com/PDF/Oral_Arguments_HIAvDEA.pdf, Dormont was read back the
section of the CSA
dealing with the hemp seed exemption on three occasions by Judge Alex Kozinski.
By the third reading, a frustrated Kozinski stated "S I tried to say it once
before. What this tells me is Congress knew full well that stalks and seeds
and fiber could be carriers of some level of tetrahydrocannabinol (THC). They
were aware of that. Nevertheless, it said unless you do the extracting part
they are not marihuana under the definition. That is what it says to me." Near
the end of the DEA's arguments, Judge Kozinski asked Dormont, "Can you tell
me how you are going to save the [poppy seed] bagel?" The question drew
laughter from the packed courtroom, but is a serious issue considering that the
irrational logic behind the DEA's attempted hemp food ban could easily be applied
to poppy seed bagels.

DEA Admitted Hemp Food Does Not Pose Any Harm, Leading Nutritionist Agrees
During final arguments, the DEA acknowledged that hemp foods have no abuse
potential, stating "The concern of the Drug Enforcement Administration isn't
particularized to the particular products that these Petitioners make. The DEA has
never said, has never focused on the particular products and said anyone can
get high from them, or that they pose a harm to people." According to
Nutritionist and best selling author Dr. Andrew Weil, "There is absolutely no health
concern about trace amounts of THC in Hemp foods. I think the federal court
decision is great."

Public Outrage Against DEA Attempted Ban In regard to widespread outrage over
the DEA's "Final Rule" - 115,000 public comments, a letter from the Canadian
government, and a letter from Congress co-signed by 22 Representatives
submitted to DEA opposed to the hemp food ban - Ninth Circuit Chief Judge Mary
Schroeder asked the DEA: "Did you take into account the objections of people who
might say that this doesn't make a lot of sense?" Dormont admitted the rule
"wasn't popular." Protests were organized by Vote Hemp against DEA's attempts to
ban hemp foods. In December 2001 and again in April 2003, at more than 50 DEA
offices nationwide, activists gave away hemp foods, poppy seed bagels and
orange juice that contain trace THC, opiates and alcohol respectively to highlight
the absurdity of DEA's rules. These "Hemp Food Taste Tests" generated public
outrage and forced former DEA Administrator Asa Hutchinson to debate Vote Hemp
Director Eric Steenstra on National Public Radio.

Eating Hemp Food Does Not Cause Failed Drug Tests U.S. hemp food companies
voluntarily observe reasonable THC limits similar to those adopted by European
nations as well as Canada and Australia. These limits protect consumers with
a wide margin of safety from workplace drug-testing interference (see hemp
industry standards regarding trace THC at www.testpledge.com). The DEA has
hypocritically not targeted food manufacturers for using poppy seeds (in bagels and
muffins, for example) even though they contain far higher levels of trace
opiates. The recently revived global hemp market is a thriving commercial
success. Unfortunately, because the DEA's Drug War paranoia has confused
non-psychoactive industrial hemp varieties of cannabis with psychoactive "marihuana"
varieties, the U.S. is the only major industrialized nation to prohibit the
growing of industrial hemp.

Hemp Companies React to Ninth Circuit Court Ruling "We are very excited that
our best-selling Organic Hemp Plus Granola Cereal® and our LifeStream Natural
Hemp Plus Waffels® will continue to be available in thousands of stores
nationwide," says Arran Stephens, President and Founder of Nature's Path Foods®.

"DEA was foolish to try to ban hemp seed because it is a rich source of
protein, dietary fiber, minerals, iron, vitamin E, and a near perfect composition
of essential fatty acids - Omega 3 and 6," says Lynn Gordon, President of
French Meadow Bakery which sells Healthy Hemp Bread®. "We expect sales to increase
enormously as result of the court ruling."

"Nutiva's organic hemp bars and protein powder can finally be sold without
concern over its legality," says John Roulac, President of Nutiva®.

"Vegetarians everywhere should celebrate this court ruling," says Ken Holmes,
co-founder of Living Harvest®. "People have a right to eat our nutritious
Hemp Power Bar, Hemp Protein, Hemp Oil and Hemp Seed Nut."

"Today's decision will boost demand for our bulk and private label oil and
seed products, as well as retail brand hemp food and body care products ," says
Shaun Crew, President of Hemp Oil Canada®.

"Today's court ruling will jumpstart sales of our new meatless Omega Burgers®
made from organic hemp seed," Ruth Shamai, President of Ruth's Foods®.

"This decision now allows consumers to vote with there dollars. Healthy hemp
food products like Hemp Seed Oil and Hemp Seed Nut(shelled hemp seed) are
available now at major retailers like Whole Foods Market," says Michael Fata,
Manitoba Harvest® Hemp Foods & Oils.

### For more information or to arrange interviews with representatives of the
hemp industry, please call Adam Eidinger at 202-232-8997 or
202-744-2671.
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