As interesting as this is, I don't fully agree with it. While I didn't necessarily enjoy traditional P.E. classes, I loved taking ballet, tap, jazz, and gymnastic classes as a child which are technically still physical education classes, just extra-curricular. That's because I'm a person who likes individual exercise like dancing, swimming, walking, and biking. I've had life long muscle tone, a built in desire to exercise when I get sedentary, and I never had to worry about my weight until I got into my mid-twenties.
Kids today are too sedentary as it is. I praise all that is good in the world that my nephews love to play outside, because some kids don't. Then again, some kids LIVE for traditional gym classes.
My solution? Offer alternatives to traditional gym i.e. dancing, martial arts, or swimming. I don't know if it's realistic, but it might make some of those kids who hate gym class form a different opinion about exercise. I was lucky enough to have parents who paid for private dance lessons, and I wish stuff like that was more widely available in public education for kids whose families can't afford it.