Peloton is temporarily halting production of its fitness products as consumer demand wanes, according to reports obtained by CNBC.

The company will pause the production of bikes for two months, from February to March. It had already halted production for the more expensive model, Bike+, which costs $2,495, in December. Peloton won’t manufacture its Treadmill machine for six weeks and the Treadmill+ for the entire year.

In a confidential presentation, the company said the demand for the fitness equipment has seen a “significant reduction” around the world.

On Thursday, after the CNBC report came out, Peloton CEO John Foley said in a statement that the company is “considering all options” which includes layoffs and production curbs. He also denied halting all production of bikes.

  • “In the past, we’ve said layoffs would be the absolute last lever we would ever hope to pull,” he said.
  • “However, we now need to evaluate our organization structure and size of our team, with the utmost care and compassion. And we are still in the process of considering all options as part of our efforts to make our business more flexible,” he said per CNN.
  • “We are resetting our production levels for sustainable growth,” he added.
  • About the CNBC report, he said, “the information the media has obtained is incomplete, out of context, and not reflective of Peloton’s strategy.”