Do you want to be an American idiot?
All right, here we go on this very interesting Thursday morning. We got lots of go on, a lot of moving parts today. First and foremost, of course, what's happening in Minnesota as we speak right now with a protest going on. Of course, the ice agent shooting a thirty seven year old individual during a stop, and we still don't know all the working pieces and what actually happened and what really transpired. Of course we want know that for some time. But the rush to judgment on this whole thing by
both the left and the right has been incredible. Getting too this more after nine thirty five here on the Scotsland Show on seven hundred WLW, I wanted to circle back though, kind of handle some old business here, something that happened over the holidays. And typically that's the way things are set up. When you want to do something that's controversial or will upset the appal karta, so to speak, you tend to do it like on a Friday, a weekend.
You do it when many people aren't paying attention. I would say doing it a Friday when it's the holidays is not going to as much attention as it should. I'm talking, of course, about what happened to the CBD infused beverage ban that Mike de Wine single Bagley took his line out of Veto powers and killed an entire industry. And this, of course are beverages that are sold were sold anywhein Ohio that contained THC small amounts of it too, derived of course from CBD, and a lot of people said, hey,
this is pretty good. We're taking this product. And technically it was, yes, a loophole, but a whole industry started in what used to be the craft brew industry, and a lot of puer veyors were switching over and saying, hey, there's a market for this product here. People clearly like it. They want more of it, they demanded. And yet the governor, in some sort of I don't know what, self righteousness or knowing better and being in the Naty State killed
this whole thing. Joining the show this morning on seven hundred WLW is the CEO of Ryan Geisberg right here in Cincinnati, Adam Bankovic, Adam, good morning.
Welcome, good morning, Thanks for having me.
Yeah, I've talked about a lot this with Steve Hoffman. Of course, you know Steve as well and talk to other industry leaders like yourself, Adam, and as far as you're concern from Ryan Guis's perspective here, because you guys are first and foremost the biggest pure veyors of micro brief you want to call the micro brew at this point, it's probably not the missing seeming how you've grown over
the last few years that that's entirely accurate. But how much of this is impacting your business or will this impact your business?
Sure, absolutely happy to talk about that. I would very much still classify as the craft brew or the Brew's Association definition put this squarely in there. In the craft beer industry, while it's grown rapidly over the past few years, to your point, has started to slow and cool off dramatically. Specifically within the state of Ohio. For the past year, craft beer as a category has been down around eight to nine percent. And it's not the first year we've
seen the climb in the craft beer industry. So, as you pointed out, this is an emerging segment that we've seen grow rapidly across the country and becoming a real
part of the marketplace here in Ohio. More recently so, Ryan Geist, among many other crap breweries in the state of Ohio have looked to it as we know that we've got lots of consumers in the marketplace that are asking for these beverages and wanting these beverages, and very clearly, not only do those consumers want those, but crap breweries are very well set up and established to be able to produce them safely, responsibly, and effectively, which is something
that we're huge advocates for that there is smart, responsible regulation of this industry, of this marketplace, of these beverages to make sure that we're clearly communicating to customers what they are, they are only being served to adults twenty one and up, and that there's clear regulation in place promoting all of that, which is what the Ohio General Assembly and Steve Huffman worked so tirelessly on, in my opinion, a very great job with SP fifty six creating clear
responsible regulation, and that's what changed when Governor DeWine chose to line at in veto specifically the intoxicating Beverage section of sb fify.
Yeah, and I know there are some other craft brewers that are leaning into this more heavily than others have as well. And you know it makes me sad because you know, you talk to people are like, wow, I really like this stuff. You mentioned how the craft beer segment itself and craft beer is declining, and we're seeing a rapid as you know, gen zers coming along and
they're just not drinking at the rates. Older millennials and certainly Gen xers like myself and baby boomers who are older, are consuming alcohol to the point where we've had a I was just talking about this yesterday, Gallop, a ninety year low. As far as alcohol consumption goes, it's incredible. And yet I think that's also true because there are so many options in order to well self medicate if you or make yourself feel better. I know a lot of people that enjoy the THHC slash CBD and fused
beverages and go. You know what I don't feel is maybe as bloated, I don't feel as I feel different the next day. I feel actually feel better than I do after drinking alcohol, and people are moving towards that. Why not satisfy that sector, because that's just true. Do you have someone to tell us so heavily invested in in graft Room?
Yeah, the thing I'd like to point out there that you mentioned is the beverage category as a whole has faced or has realized a lot of diversity, and that can be nontoxicating beverages to you name it. And really it's the prevalence of choice that the younger generation, to your point, has grown up with and now that they're of legal drinking age, they're continuing to experience thingsplore that.
But I'd also point out that everything that we're seeing and learning, it's not only the younger generation that are interested in the intoxicating HEMP beverages. It's really expanning all demographics as everyone's just enjoying the benefits of these low test beverages. It'd be really clear when I'm talking about the benefits, we are not advertising or marketing these as
healthy alternatives to alcohol. We're speaking about anecdotes we receive from doing consumer studies and panels and talking to those that are participating this beverage category. And I think that's a really important point that this entire industry is aware and acknowledging of, and SB fifty six is also doing a good job making sure that there's no unproven health
claims on packaging as an example, because it's important. Just like alcohol is regulated, and I'm not trying to draw a direct parallel or make these categories analogous, but there's queer governing rules for alcohol and what you can and can't do and say about benefits or lack there or lack there of of known benefits and alcohol, and that makes sense, and it is logical, and a lot of regulation and guidelines can and should exist in the intoxicating
beverage category as well to make sure that we're communicating responsibly and effectively to consumers. So when I'm talking about those who are choosing to drink less alcohol or abstain from alcohol entirely, and maybe they are finding great use in the intoxicating a beverage category, we're talking about anecdotes and real consumer feedback on learning what they're looking for and why they're looking for it, and that's really really different. I want to make it really clear that I have
not seen any actors in the state of Ohio. Certainly our intent to falsely advertiser represents these products, but at the same time, we do know why the consumers are turning to them.
Yeah, no, And it makes a lot of sense and you know, I'm a big believer, propared owner of giving
the people what they want. And not only that, you know, it's seemingly grossly unfair to yourself and other peer veyors, Adam, that you invested a lot in that technology and infrastructure to ramp this up, only to have that karpo pulled off from und you has the Dwine administration Mike Dwine himself addressed this to your satisfaction and yeah, I've talked to lawmakers like Steve Hoffman and others, and there's seemingly no answer for the line. I'm as to why he
struck this down. Are you getting satisfactory responses from him? Is what the reasoning was?
You know, we're still looking for it. And to be clear, we do respect the governor's role and what we're advocating for here is clarity and consistency going forward. And we spent a lot of time working with the High General Assembly and feel like they took all you know, proponents and opponents of this issue in the consideration in crafting
SP fifty six. So yes, it was very disruptive and shocking when the line Audam Vita specific just toe in toxicating hemp beverages was introduced and signed all at once, and so we're still to your point when we open the segments that was right around the holidays, and we're all as an industry collectively, and I'm talking about manufacturers to distributors to retailers, all of us, which are the three tiers of the system here to get this out
to market. We're still kind of gathering and understanding exactly what happened and what can be done about it so that all the investments that have been made can be sustained going forward, and honestly, more importantly, in my opinion, this is also about supporting Ohio business and making Ohio business competitive with other state manufacturers or even national companies who are finding great success with these beverages and states
that have created very smart, very responsible regulation. And I think the General Assembly was doing a great job looking at what other states have done, who were ahead of the curve in this category than we were, and trying to get to Ohio up the speed because there's other
commentary happening where federally. In November of twenty twenty six, not only will intoxicating HEMP no longer be allowed, which was passed as part of the reopening of the federal governm in the Appropriations bill related to Partment of Agriculture, but also CBD beverages and CBD products are also going to be limited in November of twenty twenty six, and that's an even larger category than the intoxicating hemp, CBD being a cannabinoid from the same plant that is non
intoxicating and lots of people turn to for health benefits. So really, what Ohio, in my opinion, should be doing is using the smart responsible regulation from Sub sixty six to allow Ohio business to continue to prosper. And then in SB fifty six there was also a consideration acknowledging that when the federal government provides more clarity prior to November twenty twenty six, Ohio will look at that and
then adapt as necessary. Whereas right now we're in a situation that the industry will have to shut down in March if nothing changes, and that will leave Ohio businesses behind other states who continue to regulate and support this marketplace.
Yeah, I mean, we want no one suggesting that companies like yourself say there's no regulation. Of course, there should be regulation. Health health departments oversee you there's you know, all sorts of regulation has involved in that industry as well,
should be if you're infusing something with cannabinoids. Okay, I get that, But to simply strike it and say we're not doing this anymore is rather insane because you know, one may say, well are you getting you know it is the wine getting lobby money from big alcohol?
Well?
Probably, I don't know, because it's you know, if people aren't consuming the product like they once did, and there's all their alternatives out there. You mentioned non alcoholics Adam Bankovich from ryan Geist that you know, that's another big sector right there. Mocktails are huge right now. Nan alcohol beers are fantastics. I've tried many of them, and it's certainly not like the when oduels rolled out back in
the day, it was it didn't taste very good. Now they taste really really good, and so there's a lot of diversity in those products that you offer as well. But simply banning entire sector here doesn't seem to be a good idea because people are going to people demand it, but they're going to find a different alternative to this, which might be even more dangerous, which is is the scary part. Is there a hope that legislatively speaking, this is not dead.
Absolutely, We've been working almost every day, honestly, including over the holiday break. We again being kind of this collective industry, and not just craft brewers in Ohio specifically, but again the distributors and retailers also. So there's already a referendum
that's been submitted, and so that effort is ongoing. It's been turned in in my understanding, already to Franklin Rose, the Secretary of State and Devostate Attorney General, and so that timeline is that they need to review the referendum magic was submitted by January thirteenth, to approve the signatures
and verify it. And if and when that happens on the thirteenth, then the deadline becomes a date in March to be named where two hundred and forty eight thousand, ninety two signatures would be needed across the eight counties of Ohio, and there's a certain number needed within forty four of the eighty eight counties. And if that referendum were to pass and be approved, then this issue would actually end up on the November ballot and voters would
decide what they want to happen. Separately from that, we're also having conversations with the General Assembly as we did as they were crafting se fifty six. Lots of members on all sides, both political parties, House and Senate have been listening, which is really really encouraging, and I've been
very appreciative of all those efforts. So we're still talking to them to see if there's any interest within the General Assembly on a legislative override, but that would require a two thirds vote approval in both the House and the Senates, and those conversations aroundgoing, I'm not sure if there's enough interest there or not.
Yeah, as upset as I am, and even you more so about this whole thing, I think there's hope and a since you've got a lame duck governor, you've got to do administration coming in, and I think they're going to set the record straight because clearly they're a mindset in Ohio that hey, we've been using these products responsibly.
People clearly enjoy them, the market, the sectors growing. Why would you try to take that away, especially if you're someone who allegedly is pro small business in business growth, why would you limit that It doesn't make much sense. Adam Bankovic is the CEO of Guys, joining the show
this morning with Sloani here on seven hundred WLW. Kind of revisiting we'll get in the Minnesota stuff on this a little bit different topic entirely obviously, but this is something that happened over the holidays, and generally when stuff happens over the holidays or a weekend, it's something that you know, the establishment really doesn't want you to know about. They kind of downplay it. It's a huge issue because so many people enjoyed it and going, wait, what they're taking this stuff away?
Why?
It's really good? And I'm a big proponent and you know, if you're an adult, you should be able to choose what it is that you put in your body for sure, and as long as there's regulation involved there and some oversight to make sure you're not getting sick. I say, have added, have ad all you want, because tastes indeed change. Hopefully in the next year we have some solution to this whole thing, Adam, because you know, to think of
how much money you yourself invested in. Other individuals I talked to involved in the craft brew industry in Cincinnati. You know, you don't want to see those investments simply just evaporate as they have so far in the interim. How you holding up? You're painting a picture saying, Wow, you're the craft brew thinks kind of fading. We're kind of leaning into this, and you know, maybe not for you guys, because the scale in which you guys operated
much bigger than a lot of locals. But the craft brew industry and know locally internationally, tends to be a close knit group of people who are, yeah, competitors, but at the same time you kind of pull for each other. How are some of these smaller operations doing do you know?
Yeah, fuk with lots of them that think it impacts all of them differently. You're one hundred percent right. It's a very cordial community within craft beer where we have the Ohiocraft Brewers Association meeting in a couple of days of conferences coming up here not too long from now, and this was a large topic last year. The Ohio Preppers Association did a great job bringing in national experts
to talk with the ohiocraft brewers about it. And I know there's some that are reeling from this more than others, I think the answer for all of us is that we need to find whatever can possibly work to just make sure that we're staying competitive within the marketplace. And it's really hard to do. When we spent a lot of time here today talking about the diversity beverage. I agree with you, non alcoholic beers have come a long way,
but the rallies they're very expensive to make. So if we're looking at the areas where craft brews can invest and make some things safely and effectively and responsibly and support our businesses that we've established, of craft beers declining. Since we are not able to control the general trends of the craft beer marketplace, there's very few things that
we concerned to and look to do. And this is one of those emerging segments like the early days of the craft beer boom, where a lot of Ohio craft brewers are looking at this saying, hey, we can make that, we can make it taste great, we can have it tested, we can follow all the responsible labeling requirements. So if it's not this, we're going to have to learn what else we can do. And you're right, we ryn Gus is a larger craft brewers in the state of Ohio.
But you're also right that we've spent a long time developing this product and for the marketplace to go away in Ohio is very disappointing, and we're really hoping that something will change to allow it to exist as we wait for the federal guidance.
How much you on your list as a CEO, your plate is always overflowing, right, How high up on the list is this for you? Of concerns?
Very high, very hid. It took us. We spent two years learning about this marketplace and developing Fuzzy Bones, which is our brand of in tox getting hemp beverages, and we're really proud of the brand, and we think we did a great job with the liquids and all the
characteristics of that product. And so to spend two years on something and then for the marketplace to go away overnight when we worked so hard to make sure that the iiO generally assembly was informed about the category and writing regulations to allow and promote business to exist in Ohio was disappointing. So you're right, there's lots of things on my priority list, but this has been up top the priority list for a long time and it's going to remain there.
Well, this is something I strongly advocate for, Adam, and keep me in the loop on it and how things are going. Lawmakers on all the time, people like yourself. It's senseless to think that just on the whims of an individual, that this stuff all goes away and then there's no accountability for the action whatsoever, no reason as to why you would eliminate an entire growing sector that clearly adult. OHI ones want. I wish all the best, Adam,
thanks for joining the show this morning. Take care, Thank you to all the best. Ana Binkovic, CEO at RANG guys here in Cincinnati. You know want you want people not to pay attention to do it during the holidays. You know, I'll be equally as hard on conservatives as I will liberals in the sense that you know, look at holding the feet of the fire the pure Vaul administration, for example, when it comes to transparency and accountability. I
will turn that towards Governor DeWine here too. There's no answer. I've talked to lawmakers and people like Adam that there's no reason as to why Mike Dewaine decided who's gonna kill this entire sector doesn't after to answer to anybody in that regard to and we still don't know why that should trouble all of us listening. Quick time out, we'll pivot, we'll get to the very latest. What's going on in Minnesota, me and you talking this one out as to what you saw in your reaction coming up
next year. And something that I think was missed in this whole thing in our fight over who's right and who's wrong in America, I think we're missing the big picture on something. I'll touch on that right after news update here on seven hundred ww