The incidence of sepsis is higher in very low birth weight infants, ranging from 1.9% to 21% depending on age of onset of sepsis. Reported fatality rates range from 10% to 18% depending on birth weight and age at onset of sepsis. Mortality rate of 10% to 40%, account for to 7% of all deaths among neonates annually (1, 4). In neonates, it is generally accepted that septic shock is also associated with high mortality and morbidity, but very few data on its epidemiology are available in the literature. This was hospital based prospective observational study undertaken in term neonates who survived septic shock at the time of discharge and at 3 months of age. A total of 51 term neonates who met the inclusion and exclusion criteria were studied, of these 51% were males and 49% were females, mean weight of the subjects was 2.4 kg, among the neonates who had moderate neurological impairment at 3 months 7 were less than 2.5 kg and 8 were more than 2.5kg, 71% were inborn and 29% were outborn. Among the antenatal risk factors, 2 neonates with maternal anemia, 4 neonates with maternal PIH, 1neoante with maternal fever, 1 neoante with maternal chorioamnionitis had moderate neurological impairment at 3 months of age.