Peloton (NASDAQ:PTON) shares are trading about 10.4% lower in early Thursday trading after the fitness-equipment maker was forced to recall about 2.2 million exercise bikes due to hazard, said the U.S. Consumer Product Safety Commission (CPSC).
The agency said that the bike’s seat can break during use, therefore posing fall and injury hazards to the user.
“Consumers should immediately stop using the recalled exercise bikes and contact Peloton for a free repair. Peloton is offering consumers a free seat post that can be self-installed,” the CPSC said.
The recall involves bikes sold between January 2018 and May 2023. It is a result of the company receiving 35 reports of the seat post breaking and detaching from the bike during use, “including 13 reports of injuries including a fractured wrist, lacerations and bruises due to falling from the bike.”
As a result, Peloton is offering a free, modified seat post to all original bike owners, which can be installed at home.