Peloton cofounder John Foley is out as executive chairman

Peloton Executive Chairman and co-founder John Foley is stepping down, the company announced.

After serving as chief executive officer for 10 years, Foley is resigning effective Monday. Foley took the executive chairman role in February when he was replaced by CEO Barry McCarthy.

Chief Legal Officer Hisao Kushi is also moving away from the company and will be replaced by Tammy Albarran. The Board has appointed Karen Boone as Peloton’s Chairperson of the Board. Boone was first elected to Peloton’s Board as Audit Committee Chair in 2019 and subsequently named Lead Independent Director in October 2021.

In a statement, Peloton CEO Barry McCarthy thanked Foley and Kushi for their vision, dedication and passion. “Through their hard work, they have given the world the connected fitness industry. We are indebted to them for their countless contributions,” McCarthy said.

The leadership shake-up comes as the fitness company tries to move away from a deep slump. After thriving in the early days of the pandemic, Peloton sales plunged and its shares are down about 90% over the past year.

“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, who helped start Peloton in 2012.