- Peloton is recalling all its treadmills after a child died in an accident and users reported injuries.
- Shares of the company fell sharply in trading Wednesday after the announcement.
- See more stories on Insider’s business page.
Peloton is recalling all its treadmills after one child died in an accident with one and users reported injuries, the company said in a joint statement with the Consumer Product Safety Commission on Wednesday.
Federal regulators pressured the company last month to recall its $4,295 Tread+ treadmill after the product fatally injured a child in March.
Some customers reported injuries and malfunctions with the treadmill as early as 2019, Insider previously reported.
“I want to be clear, Peloton made a mistake in our initial response to the Consumer Product Safety Commission’s request that we recall the Tread+,” CEO John Foley said in the release. “We should have engaged more productively with them from the outset. For that, I apologize.”
Shares of the fitness company, known for its bike, treadmill, and standalone subscription models, fell as much as 7% in trading following the announcement.
Peloton instructed customers to immediately stop using the treadmill and contact the company for a full refund or “other qualified remedy,” the statement said. Peloton has also stopped the sale and distribution of the Tread+.
“The agreement between CPSC and Peloton is the result of weeks of intense negotiation and effort, culminating in a cooperative agreement that I believe serves the best interests of Peloton and of consumers,” Robert S. Adler, acting chairman of the Consumer Product Safety Commission. “Today we have taken steps to prevent further harm from these two products.”