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Exhibit 99.1
 (CHAD LOGO)THERAPEUTICS
    
    FOR IMMEDIATE RELEASE
    
    21622 Plummer StreetInnovative Respiratory Solutions
    
    
    
    Chatsworth, CA 91311Toll Free: 800.423.8870Phone: 818.882.0883Main Fax: 818.882.1809Company Contact:
    
    
    
    Investor Contact:Earl L. Yager
    
    
    
    Neil Berkman AssociatesPresident and CEO
    
    
    
    (310) 826-5051www.CHADtherapeutics.com

    
    
    
    info@BerkmanAssociates.com
 CHAD Therapeutics to Sell Its Oxygen Conserver Business
and Focus on Development and Marketing of
Patented Medical Devices For the Sleep Disorder Market
 Announces Fiscal 2008 Second Quarter
and First Half Financial Results
 CHATSWORTH, California 2
   2
   (more)
 CHAD, OXYMATIC, OXYMIZER, OXYLITE, and TOTAL O2 are Registered Trademarks of Chad Therapeutics, Inc.  ISO 13485 Certified Company




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CHAD Therapeutics to Sell Its Oxygen Conserver Business and Focus on Development and Marketing of
Patented Medical Devices For the Sleep Disorder Market
  CHADs Sleep Product Opportunity
  TM
 TM
   Required Approval of CHAD Stockholders
  Fiscal 2008 Second Quarter Financial Results
  (more)




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CHAD Therapeutics to Sell Its Oxygen Conserver Business and Focus on Development and Marketing of
Patented Medical Devices For the Sleep Disorder Market
 Liquidity and Capital Resources
  About Inovo, Inc.
  About CHAD Therapeutics
 www.chadtherapeutics.com
 Safe Harbor Statements under the Private Securities Litigation Reform Act of 1995.
 The foregoing statements regarding the potential sale of the Companys oxygen conserver
business, 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 failure to complete the
sale of CHADs oxygen business, the failure to obtain shareholder approval of such sale during the
first calendar quarter of 2008, inability to access sufficient capital resources to continue
ordinary business operations pending the sale of the oxygen conserver business, the potential
introduction of new products with perceived competitive advantages over the Companys products, the
terms of any distribution agreement which may be negotiated with respect to CHADs sleep products,
and CHADs ability to anticipate and respond to technological and economic changes in the sleep
disorder market. Additionally, CHADs products for the sleep disorder market have not yet been
commercially introduced. The ability of the Company to successfully introduce these products will
depend upon obtaining necessary regulatory approvals and demonstrating the efficacy and reliability
of the products to the health care community. As with any new products, the Company cannot know if
the products will perform as expected after they have been commercially introduced. The sleep
disorder market is a new market for the Company, and the Company will be competing with several
well-established and much larger competitors in this market. These competitors may offer more
attractive prices for their products and may introduce new products that have technological
capabilities equal or superior to the Companys products. As a result, the Company cannot predict
the level of success, if any, that it will achieve with its products for the sleep disorder market.
The projected timing for the introduction of new products may be delayed as a result of unforeseen
difficulties encountered in the design, manufacture and quality testing for such products. The
Company has limited design and manufacturing resources and it relies to a significant extent upon
independent contractors for the development of products for the sleep disorder market. As a
result, the Company may have more difficulty ensuring adherence to projected timetables for the
introduction of such products. 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 Risk
Factors.




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CHAD THERAPEUTICS, INC.
 Three Months Ended
    
    
    Six Months EndedSeptember 30,
    
    
    September 30,2007
    
    
    2006
    
    
    2007
    
    
    2006Net sales
    
    $
    3,206,000
    
    
    $
    4,983,000
    
    
    $
    7,179,000
    
    
    $
    10,459,000Cost of sales
    
    
    2,607,000
    
    
    
    3,366,000
    
    
    
    5,785,000
    
    
    
    7,028,000Gross profit
    
    
    599,000
    
    
    
    1,617,000
    
    
    
    1,394,000
    
    
    
    3,431,000Costs and expenses:Selling, general and administrative
    
    
    1,408,000
    
    
    
    1,682,000
    
    
    
    2,957,000
    
    
    
    3,384,000Research and development
    
    
    391,000
    
    
    
    322,000
    
    
    
    853,000
    
    
    
    657,000Total costs and expenses
    
    
    2,799,000
    
    
    
    2,004,000
    
    
    
    3,810,000
    
    
    
    4,041,000Operating (loss)
    
    
    (1,200,000
    )
    
    
    (387,000
    )
    
    
    (2,416,000
    )
    
    
    (610,000
    )Other income, net
    
    
    153,000
    
    
    
    16,000
    
    
    
    223,000
    
    
    
    39,000Loss before income taxes
    
    
    (1,353,000
    )
    
    
    (371,000
    )
    
    
    (2,639,000
    )
    
    
    (571,000
    )Income tax expense (benefit)
    
    
    
    
    
    
    (64,000
    )
    
    
    4,000
    
    
    
    (148,000
    )Net loss
    
    $
    (1,353,000
    )
    
    $
    (307,000
    )
    
    $
    (2,643,000
    )
    
    $
    (423,000
    )Loss per share:Basic
    
    $
    (0.13
    )
    
    $
    (0.03
    )
    
    $
    (0.26
    )
    
    $
    (0.04
    )Diluted
    
    $
    (0.13
    )
    
    $
    (0.03
    )
    
    $
    (0.26
    )
    
    $
    (0.04
    )Weighted shares outstanding:Basic
    
    
    10,180,000
    
    
    
    10,169,000
    
    
    
    10,180,000
    
    
    
    10,169,000Diluted
    
    
    10,180,000
    
    
    
    10,169,000
    
    
    
    10,180,000
    
    
    
    10,169,000




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CHAD THEREAPEUTICS, INC.
 September 30,2007
    
    
    2006AssetsCurrent assets:Cash
    
    $
    387,000
    
    
    $
    1,777,000Accounts receivable, net
    
    
    1,775,000
    
    
    
    2,568,000Income taxes refundable
    
    
    2,000
    
    
    
    182,000Inventories, net
    
    
    6,785,000
    
    
    
    6,303,000Prepaid expenses and other assets
    
    
    434,000
    
    
    
    146,000Deferred income taxes
    
    
    
    
    
    
    640,000Total current assets
    
    
    8,383,000
    
    
    
    11,616,000Property, plant and equipment, net
    
    
    619,000
    
    
    
    818,000Intangible assets, net
    
    
    1,068,000
    
    
    
    1,073,000Deferred income taxes
    
    
    
    
    
    
    610,000Other assets
    
    
    301,000
    
    
    
    44,000Total Assets
    
    $
    10,371,000
    
    
    $
    14,161,000Liabilities and Shareholders EquityCurrent liabilities:Accounts payable
    
    $
    858,000
    
    
    $
    923,000Accrued expenses
    
    
    1,163,000
    
    
    
    1,206,000Revolving line of credit
    
    
    1,094,000
    
    
    
    Current portion of long-term debt
    
    
    292,000
    
    
    
    Total current liabilities
    
    
    3,407,000
    
    
    
    2,129,000Long-term debt
    
    
    458,000
    
    
    
    Total liabilities
    
    
    3,865,000
    
    
    
    2,129,000Shareholders equity:Common shares, $.01 par value, authorized 40,000,000 shares, 10,180,000 and
10,144,000 issued and outstanding
    
    
    13,581,000
    
    
    
    13,473,000Accumulated deficit
    
    
    (7,075,000
    )
    
    
    (1,441,000
    )Net shareholders equity
    
    
    6,506,000
    
    
    
    12,032,000Total Liabilities and Shareholders Equity
    
    $
    10,371,000
    
    
    $
    14,161,000