Peloton (New York) has announced the resignations of two of its co-founders, John Foley and Hisao Kushi. Their exit follows the fitness company’s company-wide layoffs and store closures; its also entering a restructuring phase following a reported second quarter loss of $757 million.
In 2012, Foley and Kushi co-founded the interactive fitness and equipment company along with partners Graham Stanton, Yony Feng and Tom Cortese.
Foley leaves his role as Executive Chair after having first served as Peloton’s CEO for a decade. In 2015, Kushi took on the role of the company’s Chief Legal Officer and Strategist behind Peloton’s music licensing agreements and helped guide the company’s mergers and acquisitions.
“Now it is time for me to start a new professional chapter,” says Foley in the statement released by Peloton. “I have passion for building companies and creating great teams, and I am excited to do that again in a new space.”
In Foley’s stead, Peloton’s board has appointed the company’s former Lead Independent Director, Karen Boone, as Chair of the Board. Boone came to the company after serving as President and Chief Financial and Administrative Officer of Restoration Hardware. Former Uber Chief Deputy General Counsel and Deputy Corporate Secretary, Tammy Albarrán, will replace Kushi as CLO and Corporate Secretary of Peloton.
Boone says of the founders’ departure: “Not only did they succeed in building a great company, they transformed an entire industry by leveraging fitness and technology. Their impact will resonate long after their departure.”