Abstract: A machine for transferring adhesive labels from both sides of a single carrier strip to two separate streams of product items on a continuous basis. A pair of spaced continuously rotating vacuum wheels come in contact with opposite sides of the carrier strip, the carrier strip passing around a loop-forming roller adjacent each vacuum wheel to bring the label in contact with the vacuum wheel. Each vacuum wheel has holes around the periphery thereof, a vacuum being applied through the openings in a stationary sector of the vacuum wheel. As each label comes in contact with the associated vacuum wheel, it is pulled off by the vacuum and transported through the sector angle to a release point, where it is transferred to the surface of a product item.