OBJECTIVE: The author presents a review about neonatal chronic lung disease, with particular emphasis on pathophysiology and outpatient follow up. METHODS: The most relevant articles concerning the disorder were selected through Medline search, from the initial description of the disease, in 1967.RESULTS: Neonatal chronic lung disease is a condition with growing incidence due to progressive increase in survival of preterm infants. Neonatal chronic lung disease pathophysiology involves several factors, but prematurity and respiratory assistance to the newborn seem to play a major role in the pathogenic process. The treatment of neonatal chronic lung disease is complex and must be individualized. Diuretics, corticosteroids and bronchodilators are the most frequently used drugs, but their indication and timing for use remain controversial. Patient follow-up after hospital discharge is essential for a good prognosis, and must include nutritional and social aspects. CONCLUSIONS: Neonatal chronic lung disease is still a condition scarcely known among pediatricians, particularly regarding treatment after hospital discharge. Severe cases should be treated in specialized centers with advanced laboratory and management resources. The prognosis is remarkably variable and also related to the presence of other prematurity sequelae and prompt intervention on the complications.