It also postpones the fat burning process. The body chooses what to use as energy; as alcohol metabolizes into acetate, the body prefers to use it for energy. That means your body will use the acetate instead of fat, and that's obviously not what we're looking for when trying to cut bf%.
Also, alcohol has a calorie content of 7 per gram. That's only 2 short of fat itself. So yes, empty (non-nutritious) calories.
Finally, I'm not sure if this is a myth or not, but I remember reading that alcohol has an adverse affect on testostorone levels, and that could inhibit your progress. A good testostorone level will help you reach your fitness goals.
If you're like me, pretty much 2/3rds of my social activity involves alcohol. That makes it hard to stop using it, so if you need some ideas for how to cut back, I recommend setting shorter goals. What I did was, I first cut back to once a weekend. Then after a few weeks of that, I stepped it up to once a weekend, every OTHER weekend. And that's where I'm at right now... I think the next step is going to be once a month. :-P We'll see if that's a little too extreme for me, haha. Offer to DD other people's cars too, if you do the party/bar/club thing. That way, you can still go to hang out, and you're helping your friends stay safe.