Peloton probed by U.S. regulators over injuries
Peloton is under investigation.
It's following reports of multiple injuries and the death of a child in an incident involving the company's treadmills earlier this year.
In a regulatory filing, Peloton said the U.S. Department of Justice and the Department of Homeland Security had subpoenaed the firm for documents and information over injuries from its exercise machines.
It's the latest setback for Peloton over its treadmills after they were recalled in May.
Peloton disclosed on Friday (August 27) that the probe involved its public disclosures related to the injuries.
And that it had been named in several lawsuits associated with the recalls.
The fitness equipment maker benefited last year from a home exercise boom.
On Thursday (August 26) the company said its near-term profitability would be affected due to a decision to slash the price of its exercise bike.
As well as higher commodity and marketing costs.
Peloton introduced monthly financing options for some of its products as it looks to prevent a slowdown in its business.
Its shares were down nearly 8% in pre-market trading on Friday.
