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National Advertising Division finds certain TerpLoc(R) cannabis packaging claims supported; recommended Grove Bags modify or discontinue others. iCrowdNewswire May 14, 2026 11:45 AM ET New York, NY - May 14, 2026 - In a challenge brought by Calyx Containers, LLC, BBB National Programs' National Advertising Division recommended that Kinzie Advanced Polymers, LLC, d/b/a Grove Bags, modify certain express and implied claims for its TerpLoc(R) cannabis storage products. Calyx Containers and Grove Bags compete in the cannabis packaging industry offering specialized, high-performance storage solutions designed to preserve product quality. At issue for the National Advertising Division (NAD) were advertising claims across multiple media channels related to humidity control, weight retention, and terpene preservation for Grove Bags' TerpLoc(R) cannabis curing and storage products. NAD found that Grove Bags' internal testing and independent third-party studies provided a reasonable basis for claims that TerpLoc(R) packaging functions as an effective passive modified atmosphere packaging (MAP) system that maintains moisture stability and preserves cannabinoids and terpenes better than conventional storage methods when following product use instructions. However, NAD determined that the moisture stability and terpene preservation claims are expressly dependent on specific conditions of use and found that the evidence does not directly establish that TerpLoc(R) packaging consistently maintains a precise relative humidity range of 58-62% under all conditions. NAD recommended that Grove Bags modify its advertising to clearly and conspicuously disclose the conditions under which the claimed results can be achieved and to avoid language suggesting guaranteed or universal performance. NAD also determined that the ads, in context, do not reasonably convey the challenged implied message that Grove Bags regulate the relative humidity to the claimed level, no matter the level of moisture of the product when placed in the bag. NAD found that the product's instructions for use are material terms that must be clearly and conspicuously disclosed in close proximity to the performance claims. NAD found that the challenged claims without qualification, that the bags will "create" a specific microclimate to achieve the advertised relative humidity (RH) or that the bags "ensure" weight retention and terpene preservation, were not supported. During the proceeding, Grove Bags voluntarily discontinued claims related to mold prevention. These claims will be treated for compliance purposes, as though NAD recommended they be discontinued. In its advertising statement, Grove Bags stated, "it will comply with NAD's recommendations." All BBB National Programs case decision summaries can be found in the case decision library. For the full text of NAD, NARB, and CARU decisions, subscribe to the online archive. This press release shall not be used for advertising or promotional purposes. About BBB National Programs: BBB National Programs, a non-profit organization, is the home of U.S. independent industry self-regulation, currently operating more than 20 globally recognized programs that have been helping enhance consumer trust in business for more than 50 years. These programs provide third-party accountability and dispute resolution services that address existing and emerging industry issues, promote fair competition for businesses, and a better experience for consumers. BBB National Programs continues to evolve its work and grow its impact by providing business guidance and fostering best practices in arenas such as advertising, child-and-teen-directed marketing, data privacy, dispute resolution, automobile warranty, technology, and emerging areas. To learn more, visit bbbprograms.org. About the National Advertising Division: The National Advertising Division of BBB National Programs provides independent self-regulation and dispute resolution services, guiding the truthfulness of advertising across the U.S. The National Advertising Division reviews national advertising in all media and its decisions set consistent standards for advertising truth and accuracy, delivering meaningful protection to consumers and promoting fair competition for business. Contact information: Name: Jennifer Rosenberg Email: [email protected] Job Title: Media Relations

New vendor-managed inventory program launches for international growers. As the global cannabis market continues expansion, National cannabis packaging, curing and technology company Calyx Containers announced the launch of its Flex Flow Program, a Vendor Managed Inventory initiative, now live online to qualified customers. Designed to help operators reduce packaging costs while maintaining fast, reliable access to inventory stored and released within the United States, the Flex Flow Program combines forecast-driven international packaging production with stateside inventory holding. This allows customers to secure lower-cost overseas pricing without the long lead times, freight uncertainty and compliance risk traditionally associated with global sourcing. "Calyx Flex Flow is about removing uncertainty from packaging supply chains," said Simon Knobel, CEO and co-founder of Calyx Containers. "Operators should not have to choose between cost efficiency and speed. Through this program, we manage production, quality control and logistics while holding inventory stateside for up to 90 days at no cost, so customers can release finished packaging quickly with a simple email or call. It keeps accountability with Calyx and gives operators international pricing with inventory that is close to home and ready to move." The initiative was developed in response to a growing industry challenge: balancing the speed of domestic manufacturing with the cost efficiency of overseas production. While Calyx's 17,000 sq ft Salt Lake City facility provides rapid-turn solutions for urgent needs, under the Flex Flow model, domestic production will match international cost structures for larger, forecastable programs. Achieved by coordinating a rolling 26-week forecast by SKU and using strategic brokered partnerships across a vetted global production network, packaging is produced to Calyx specifications, including child-resistant compliance, sustainability requirements and premium print standards, then staged in domestic warehouses as either finished goods or printed rollstock ready for rapid final conversion. Inventory can be held for up to 90 days, helping customers preserve cash while maintaining supply readiness. As a complement to Calyx's domestic manufacturing capabilities, Flex Flow eases customer concerns should international supply lanes be disrupted or demand spike unexpectedly. With Flex Flow Calyx can shift production domestically to maintain continuity and protect customer operations. Calyx recently completed a limited beta of the Flex Flow Program with a small group of key partners. Early customers cited reduced operational stress, improved inventory planning and faster access to packaging without tying up working capital. Following validation of forecasting workflows, quality controls and stateside inventory release, the company is expanding the program through a phased onboarding process. "This initiative reflects how Calyx has evolved from being known primarily for containers into becoming a true end-to-end packaging partner," said Alex Gonzalez, president and co-founder of Calyx Containers. "With Flex Flow, we are actively managing the full packaging supply chain for our customers, from forecasting and production planning to quality control, inventory positioning and rapid replenishment. It gives operators a single accountable partner that can deliver cost efficiency, continuity and execution across formats and timelines, not just a transactional purchase order." The company expects Vendor Managed Inventory to become a core pillar of its long-term strategy, supporting supply chain resilience, scalable manufacturing and higher service levels across flexible packaging formats.