X0306 4 2019-10-01 0 0001766400 Pennant Group, Inc. PNTG 0001417555 Christensen Christopher R. C/O THE PENNANT GROUP, INC. 1675 EAST RIVERSIDE DRIVE, SUITE 150 EAGLE ID 83616 1 0 0 0 Common Stock 2019-10-01 4 A 0 116599 0.00 A 116599 D Common Stock 2019-10-01 4 A 0 622333 0.00 A 738932 I See Footnote Common Stock 2019-10-01 4 A 0 33134 0.00 A 772066 D Stock Option (right to buy) 15.09 2019-10-01 4 A 0 8000 0.00 A 2029-10-01 Common Stock 8000 8000 D Shares of common stock received in the October 1, 2019 pro rata distribution of shares of The Pennant Group, Inc. (the "Registrant") by The Ensign Group, Inc. to its stockholders (the "Spin-off") and shares of Cornerstone Healthcare, Inc. converted into shares of the Registrant pursuant to the merger of Cornerstone Merger Sub, Inc., a wholly-owned subsidiary of the Registrant, with and into Cornerstone Healthcare, Inc., with Cornerstone Healthcare, Inc. as the surviving corporation, in connection with the Spin-off. Of these shares, 618,162 shares are held by Hobble Creek Investments, LLC, of which Mr. Christensen is the sole member, 2,171 shares are held by Mr. Christensen's spouse, and 2,000 shares are held by Mr. Christensen's former spouse as custodian for their minor children under the California Uniform Transfers to Minors Act. Mr. Christensen's former spouse holds voting and investment power over the shares held for their children. Shares of restricted stock granted on October 1, 2018 under The Pennant Group, Inc. 2019 Long Term Incentive Plan. Options granted on October 1, 2019 under The Pennant Group, Inc. 2019 Omnibus Incentive Plan. The options vest in three equal annual installments beginning on the first anniversary of the date of the grant. /s/ Derek J. Bunker, as attorney-in-fact 2019-10-03