HMA's CEO retires to lead Mormon mission

NAPLES — Hospital operator Health Management Associates announced Tuesday that Gary Newsome, its president and CEO, will retire from the company July 31. Upon his retirement, Newsome will serve as the president of The Church of Jesus Christ of Latter-day Saints' mission in Uruguay, the company says in a statement.

Newsome will continue to lead the company (symbol: HMA; recent price: $12.33) until he leaves. The board has begun the search for a new CEO, which is being led by four members of the board, the company says in the statement.

“My family and my faith have always been the most important parts of my life, and it is a rare privilege to serve in Uruguay, a place that has remained in my heart since I served my first mission there more than 35 years ago,” Newsome says in the statement. “I am sincerely grateful for the support I've received from the Health Management Board of Directors, management team, and our associates and physicians.” 

Newsome has served as HMA's president, CEO and a member of its board since September 2008.

“On behalf of the board and the entire company, I want to express our deep gratitude for Gary's years of dedicated service and his substantial contributions to the company,” says William Schoen, HMA chairman, in the statement. “We respect his commitment to his faith and wish him well in his future endeavors.  We have been fortunate to have Gary as a steward of this company and will remain focused on the continued execution of the company's strategic plans.” 
Newsome's retirement announcement comes amid some recent turbulence for the company. Earlier in May, New York City hedge fund Glenview Capital Management announced it had acquired 14.6% of HMA's shares, and the company responded by adopting a shareholder rights plan, or “poison pill” to prevent a takeover without the board's approval. In April, the firm announced it received subpeonas for information from the Securities and Exchange Commission to investigate its billing practices.

The company operates 71 hospitals with approximately 11,100 licensed beds in non-urban communities throughout the U.S.