Fitness company Peloton's co-founders resign amid job cuts

New York, Sep 13

US exercise equipment and media company announced that it has accepted the resignations of John Foley as Executive Chair and Hisao Kushi as Chief Legal Officer, effective September 12 and October 3, respectively.

Peloton last month laid off roughly 780 employees, shut down several stores and hiked prices on bikes and treadmills.

The company has appointed Karen Boone as Peloton's Chairperson of the Board.

"We are immensely grateful to John and Hisao for having the vision, ambition, and commitment to turn Peloton into the iconic consumer brand it is today. Their impact will resonate long after their departure,a Boone said in a statement late on Monday.

Foley co-founded Peloton in 2012 and is credited with leveraging his tech and business experience to build the company into the largest interactive fitness platform in the world.

"We founded the company because we wanted to make fitness and wellness convenient, fun, and effective. Because of the work of thousands of people, we've done that," said Foley.

Tammy Albarran will replace Kushi as Chief Legal Officer and Corporate Secretary for Peloton, October 3.

In order to rebalance its e-commerce and retail mix to drive efficiencies, the company is reducing retail presence across North America, resulting in "a significant and aggressive reduction of Peloton's retail footprint".

Following last month's exit from owned-manufacturing in Taiwan, the company is now restructuring final mile delivery capabilities by expanding our work with our third party logistics (3PLs) providers.

It is exiting last-mile logistics and shift delivery work to third-party providers.

The company was rumoured to be acquired by Amazon earlier this year.

Peloton has a community of nearly 7 million members.