Graham Corporation Awarded $10 Million in International Refinery Orders

BATAVIA, N.Y.--(Business Wire)--
Graham Corporation (AMEX: GHM) announced today that it has been
awarded orders valued at over $10 million for two ejector systems and
three surface condensers to be installed in four international oil
refineries located in South Korea, China, Malaysia and Russia.

South Korean Refinery Expansion

The first order is for an ejector system to be installed in a
South Korean oil refinery that is expanding its capacity to process
more plentiful and lower-priced heavy crude oil. It is the second
ejector system that Graham will supply to this end user. The user's
previous system was shipped by Graham in early 2007. A portion of the
ejector system fabrication will be outsourced to a local manufacturer,
with the balance produced in Graham's Batavia, New York facility. The
ejector system is scheduled for shipment in the first quarter of
fiscal 2010, which ends June 30, 2009.

Malaysia Refinery Revamp

The second order is for an ejector system to be installed in a
Malaysian oil refinery that is revamping and upgrading its existing
equipment in order to expand performance and increase capacity. The
equipment will replace a Graham ejector system that was originally
supplied in the late 1990's. Graham's ability to deliver the ejector
system according to the customer's timeline is crucial, as the refiner
has a planned shut-down period to upgrade the facility. The system is
scheduled for shipment in the fourth quarter of fiscal 2009, which
ends March 31, 2009.

Chinese and Russian Oil Refinery Orders

A U.S. based turbomachinery original equipment manufacturer, or
OEM, placed two orders for a total of three steam surface condensers.
Two of the ordered surface condensers will be installed in a Chinese
oil refinery expanding production of transportation fuels. The third
surface condenser will support a hydrocracking process of crude oil at
an existing oil refinery located in Russia. The condenser systems are
scheduled to be manufactured in Graham's Batavia, New York facility
and are scheduled for shipment in the second quarter of fiscal 2010,
which ends September 30, 2009.

James R. Lines, Graham's President and Chief Executive Officer,
commented, "The global need to increase transportation fuel processing
capacity and upgrade existing facilities to process a wider variety of
crude oil feedstock is continuing to provide us opportunities to grow.
The Graham brand is well-regarded in the international refinery and
petrochemical markets, and the increase in projects is leading to a
much larger installed base of Graham equipment around the world."

ABOUT GRAHAM CORPORATION

With world-renowned engineering expertise in vacuum and heat
transfer technology, Graham Corporation is a global designer,
manufacturer and supplier of ejectors, pumps, condensers, vacuum
systems and heat exchangers. Over the past 72 years, Graham has built
a reputation for top quality, reliable products and high-standards of
customer service. Sold either as components or complete system
solutions, the principal markets for Graham's equipment are the
petrochemical, oil refining and electric power generation industries,
including cogeneration and geothermal plants. Graham's equipment can
be found in diverse applications, such as metal refining, pulp and
paper processing, ship-building, water heating, refrigeration,
desalination, food processing, pharmaceutical, heating, ventilating
and air conditioning.

Graham Corporation's reach spans the globe. Its equipment is
installed in facilities from North and South America to Europe, Asia,
Africa and the Middle East. More information regarding Graham can be
found at its website: www.graham-mfg.com.

Safe Harbor Statement

This press release contains forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995. All
forward-looking statements are subject to certain risks, uncertainties
and assumptions. These risks and uncertainties, which are more fully
described in Graham's Annual and Quarterly Reports filed with the
Securities and Exchange Commission, include but are not limited to
Graham's ability to successfully execute the contracts, that the
estimated value of the production contracts will be realized, customer
preferences and changes in market conditions in the industries in
which Graham operates and its ability to achieve its announced goals
and objectives. Should one or more of these risks or uncertainties
materialize, or should the assumptions prove incorrect, actual results
may vary in material aspects from those currently anticipated.

Graham Corporation
J. Ronald Hansen, 585-343-2216
Vice President Finance and CFO
rhansen@graham-mfg.com
or
Kei Advisors LLC
Deborah K. Pawlowski, 716-843-3908
dpawlowski@keiadvisors.com

Copyright Business Wire 2008