EXECUTIVE SUMMARY:A HIGHLY COVETED ASSET Peloton has the hallmarks of an extremely valuable and attractive business, which need to be protected ▪ Large addressable market; early days for market penetration ▪ Largest interactive fitness platform ▪ Admired brand with top-ranked NPS scores ▪ Recurring subscription-based revenue model with high incremental margins ▪ Network effects from ecosystem and stickiness from “star” instructors ▪ Highly engaged subscriber base with low churn ▪ Multiple growth drivers, including unrealized pricing power ▪ Significant intellectual property 6