Five Star Quality Care, Inc. Announces Financial Results for the Quarter Ended March 31, 2002.

Business Editors

NEWTON, Mass.--(BUSINESS WIRE)--May 14, 2002)

Five Star Quality Care, Inc. (AMEX: FVE) today announced its financial results for the quarter ended March 31, 2002, as follows (in thousands, except per share data):

                                                 Three months ended
                                                      March 31,
                                                 2002          2001

Revenues:
   Net revenues from patients and residents    $ 119,124    $  57,354
   Interest income                                   146         --

Total revenues                                   119,270       57,354

Expenses:
   Wages and benefits                             57,717       39,264
   Other operating expenses                       36,909       13,842
   Management fee to Marriott                      3,788         --
   Rent expense                                   17,578         --
   Spin off and merger expense, non recurring      2,829         --
   General and administrative                      3,635        4,798
   Depreciation                                      183          289

Total expenses                                   122,639       58,193

Net loss before income taxes                      (3,369)        (839)

Provision for income taxes                          --           --

Net  loss                                      $  (3,369)   $    (839)

Weighted average shares outstanding                5,115        4,374

Loss per share                                 $   (0.66)   $   (0.19)

Five Star was a 100% owned subsidiary of Senior Housing Properties Trust until December 31, 2001. On December 31, 2001, substantially all the shares of Five Star were distributed to shareholders of Senior Housing and Five Star became a separate public company. On January 2, 2002, Five Star merged with FSQ, Inc., the operator of Five Star's facilities prior to that date. The 2001 results presented are for a period during which Five Star was a subsidiary of Senior Housing and separate from FSQ, Inc. and they may NOT be indicative of what Five Star's results would have been as separate public company. For 2001 periods, weighted average shares outstanding and loss per share are presented as if the shares issued on December 31, 2001, were outstanding.

In addition, Five Star has completed a number of previously announced transactions in 2002, which are not fully reflected in the 2002 or 2001 periods presented, including:

-- On January 11, 2002, Five Star entered a lease for 31 senior living
communities with 7,487 living units from Senior Housing Properties Trust.
Results of those properties are not included in the presented results prior to
January 11, 2002.

-- On March 20, 2002, Five Star completed a public offering of 3.7 million
common shares. Together with the exercise by underwriters of their option to
purchase additional shares, a total of 3.8 million shares were issued, and $28
million of gross proceeds were raised. As of the date of this release, Five
Star has 8,447,634 common shares outstanding.

-- On April 1, 2002, Five Star completed its acquisition of five senior living
communities with 704 units for $45.5 million.

Five Star Quality Care, Inc. is a senior living facility operator. Five Star owns, leases and operates 91 facilities with 13,357 living units located in 22 states. These facilities include independent living and congregate care communities, assisted living facilities and nursing homes. Five Star is headquartered in Newton, Massachusetts.

                     Five Star Quality Care, Inc.
                            March 31, 2002


Selected Historical Balance Sheet Data

 Assets
 Current assets:
  Cash and cash equivalents                            $46,682
  Other current assets                                  58,810
  Property and equipment, net                            4,973

Total assets                                          $110,465

Liabilities and Shareholders' Equity
Current liabilities                                    $24,329
Long term liabilities                                   11,985
Shareholders' equity: 8,324,334
  common shares outstanding                             74,151

Total liabilities and shareholders' equity            $110,465



Supplemental Data                            Quarter Ended March 31
                                           2001       2002    Change

Legacy portfolio - 56 leased skilled
 nursing facilities (5,211 units)
    Occupancy                              88.2%      86.9%   -1.3 pts
    Average daily rate                   $132.98    $138.73   +4.3%
    Percent of revenues from
     private resources                       26%        23%   -3.0 pts

Marriott portfolio - 31 leased
 independent and assisted living
 facilities (7,487 units) (1)
    Occupancy                              91.3%      89.8%   -1.5 pts
    Average daily rate                   $101.16    $107.48   +6.0%
    Percent of revenues from
     private resources                       92%        92%     --

Acquisition portfolio - 5 owned
 independent and assisted living
 facilities (704 units) (2)
    Occupancy                              87.3%      87.2%   -0.1 pts
    Average daily rate                    $64.58     $66.34    2.7%
    Percent of revenues from
     private resources                      100%       100%     --


(1) Includes data for periods prior to January 11, 2002, lease of
    these facilities.
(2) Includes data for periods prior to April 1, 2002, acquisition of
    these facilities.