This study indicates that the nationwide CEO turnover rate is lower than many people estimate but was still, in 1987, an uncomfortable 22 percent on average. Some of this turnover may help some hospitals, for example, those with incompetent administrators. Some turnover may be natural in that some CEOs may have retired or died. Other turnover is controlled, such as that in the investor-owned sector where planned movement is expected. The analysis of the data in this study indicates that smaller hospitals experience higher turnover rates than do their larger counterparts. In 1987 Sun Belt and western hospitals experienced greater turnover than upper midwestern and eastern hospitals. As a group, however, the investor-owned sector led in turnover rates among hospital CEO turnover rates.