Katie Potter will take over as the new president and CEO at Five Star Senior Living in January, the company has announced.
Potter has been with the nation’s third-largest senior living operator since 2012 and now serves as executive vice president and general counsel. She succeeds Bruce J. Mackey Jr., who will step down from the troubled firm at the end of the month.
Five Star had a rough third quarter and faces an uncertain future, company officials admitted during a November earnings call. The operator tallied a net loss of $21.6 million during the period ending Sept. 30, and its stock price dipped below $1 per share for 30 consecutive days. The Nasdaq informed Five Star in October that it could be delisted if it is unable regain compliance within the next year.
Mackey also said in November that the company — which owns or operates 283 senior living communities — was low on cash and caused concern that it might not be able to meet its operating and debt obligations.
“There are conditions that have raised substantial doubt about our ability to continue as a going concern,” Mackey, 48, told investors last month.
Mackey’s retirement agreement stipulates that he will stay on board as a non-officer employee until the end of 2019. The company did not immediately respond to a McKnight’s request for comment.