CTU Chad Therapeutics,

CHAD Therapeutics, Inc. (AMEX:CTU) today reported that its independent registered accountants, Rose, Snyder & Jacobs, had qualified their opinion on the Company's March 31, 2008, financial statements as disclosed in the Company's Form 10-K filed with the Securities and Exchange Commission on June 27, 2008. The qualification is based on doubts about the Company's ability to continue as a going concern and the need to raise additional financing to support the launch of the products the Company is developing for the sleep disorder market, as described in Note 1 to the above-mentioned financial statements. About CHAD Therapeutics CHAD Therapeutics, Inc. develops, manufactures and markets respiratory care devices designed to improve the efficiency of oxygen delivery systems for home health care and hospital treatment of patients suffering from pulmonary diseases. For more information, visit www.CHADtherapeutics.com. Safe Harbor Statements under the Private Securities Litigation Reform Act of 1995. The foregoing statements regarding prospects for future earnings and revenues, future sales trends and the introduction of products under development are forward-looking statements that involve certain risks and uncertainties. A number of important factors could cause actual results to differ materially from those contemplated by such forward-looking statements. These include the loss of one or more major customers, increased competition, the introduction of new products with perceived competitive advantages over the Company's products, changes or proposed changes in health care reimbursement which affect home care providers and CHAD's ability to anticipate and respond to technological and economic changes in the home oxygen market. Moreover, the success of the Company's products and products under development will depend on their efficacy, reliability and the health care community's perception of the products' capabilities and benefits, the degree of acceptance the products achieve among homecare providers and, with respect to products under development, obtaining timely regulatory approval. Additional factors that could cause actual results to differ materially from those contemplated in this press release can be found in the Company's annual and quarterly reports filed with the Securities and Exchange Commission under the caption "Outlook: Issues and Risks."