I didn't ask if it could be a HEB I asked why it wasn't free like rice is?!
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Because breakfast cereals are on the list of foods that don't qualify for a free food allowance even though they have free foods in the main ingredients. Without the allowance it is a straight 1 syn for every 20 calories.
Here is the list of foods that don't qualify, presumably because if they were free it would be too easy to overconsume them and take in a lot of calories to the point where it might affect losses.
Alcoholic drinks
Biscuits, including cereal bars and savoury crackers
Bread & crispbreads
Breakfast cereals
Cakes & bakery items, e.g. carrot cake
Crisps & snacks
Dressings & dips, e.g. salsa, salad dressing
Fruit - canned, dried and stewed
Pastry products (sweet & savoury), e.g. salmon en croute, apple pie
Pizza
Puddings & desserts
Sandwich/deli fillers
Sandwiches and wraps
Sauces, e.g. jars of tomato-based pasta sauce
Soft drinks, including yogurt drinks fruit/vegetable juice and fruit smoothies
Soups, all varieties
Sweets & chocolates
Think of the cereal portion you would have had before SW - probably a big bowlful and that adds up to a lot of calories.