Blackwells Capital Activist Presentation Deck
BW
1
EXECUTIVE SUMMARY
PELOTON'S CURRENT PLAN IS INADEQUATE
Insiders Remain in Control
Despite Value Destruction
Despite having destroyed more than
$40 billion in shareholder value while
having only a modest economic
interest in the Company, a close-knit
group of insiders including John Foley
and Director Jay Hoag effectively
control Peloton
Blackwells believes Peloton's
governance limits accountability to
shareholders
BLACKWELLS CAPITAL
2
Peloton Continues to Make
Only Incremental Changes
In February 2022, Peloton announced
a "significant transformation" of its
operating model to much fanfare. To
date, these changes have consisted of
minor changes to the management
team, a cost reduction plan that lacks
transparency and an underwhelming
product launch
In our view, Peloton's changes are not
nearly enough to address its challenges
3
Company Remains
Independent
Immediately after his appointment as
CEO, Barry McCarthy asserted that a
sale of Peloton was unlikely in the
"foreseeable future," despite the
Company's well-documented challenges
Blackwells believes Peloton will
continue to face challenges as a
standalone company in a niche market,
and that a sale is the best outcome for
shareholders
Blackwells believes Peloton's claimed transformation is largely illusory and requires work beyond
what the current Peloton team is capable of doing
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