Kellogg will drop the terms "all natural" and "nothing artificial" from packaging of its Kashi line as part of a settlement agreement of a class-action lawsuit that accused the company of using ingredients processed with hexane, a component of gasoline.
The settlement of the lawsuit, which was filed in California in 2011, will also include a $5 million payment to plaintiffs.
In a statement, a spokesperson for Kellogg said:
"We stand behind our advertising and labeling practices. We will comply with the terms of the settlement agreement by the end of the year and will continue to ensure our foods meet our high quality and nutrition standards while delivering the great taste people expect."
In 2012, Kellogg donated $790,000 to the "No on Prop. 37" campaign which helped defeat a California ballot initiative that would've required food products with genetically-engineered ingredients to be labeled as such.
The FDA has not regulated the use of the word "natural," but in a statement on its website, the FDA says "the agency has not objected to the use of the term if the food does not contain added color, artificial flavors or synthetic substances."