Peloton recalls all of its treadmills and reimburses customers

Peloton, the famous manufacturer of machines for sports halls, announces that it is recalling all of its treadmills after an accident that led to the death of a six-year-old child.

To date, 29 children have been injured by a Peloton treadmill

True stars of American apartments since the start of the Covid-19 epidemic, Peloton treadmills will have to return to their manufacturer. The company announces a general recall. This, after 72 accidents involving adults, children and pets. Of these 72 accidents, 29 were victims of children: they suffered from fractures and injuries. Most importantly, a six-year-old child died after being dragged under the machine by the moving belt.

All customers who have purchased a Tread + treadmill will be entitled to a full refund. For those who still decide to keep their treadmill, Peloton offers to send an employee free of charge to come and move the machine to another room, which would be inaccessible to children.

Peloton, a great success on the stock market

But there was never any question of ordering Peloton to recall this product. Note that in the United States, the Consumer Product Safety Commission cannot unilaterally declare a recall, it must first negotiate with the manufacturer in question. Most of the time, as in this specific case, after this negotiation it is decided that it is the manufacturer himself who will communicate on the risks associated with the use of his products. And, as is customary in the United States, it is Peloton itself which today announces the recall of its products… without it being obligatory for consumers to comply.

Immediately after the recall was announced, Peloton’s share price fell 14.7%, before regaining some ground. Suffice to say that the fall is hard, knowing that Peloton stock, which has hovered for years at around $ 19, soared with the Covid-19 epidemic to reach its highest of $ 162 in December 2020. Aware of the stakes, Peloton is already trying to reassure the market by promising to release a software update so that it systematically requests the entry of a secret code before setting the carpet in motion.