Granite Construction Awarded $22.0 Million Irrigation Canal Project in Arizona

WATSONVILLE, Calif.--(Business Wire)--
Granite Construction Incorporated (NYSE:GVA) today announced that Granite
Construction Company has been awarded a $22.0 million contract by the Gila River
Indian Community to construct the final phase of the new 8.5-mile Santan Canal
located approximately 40 miles southeast of Phoenix.

The Santan Canal is part of the Gila River Indian Community`s master plan to
deliver 173,000 acre feet of water to farmlands within the Community. Through
the Pima-Maricopa Irrigation Project (P-MIP), the Community`s ultimate proposal
is to design and construct a water delivery system that will potentially include
2,400 miles of canal and pipeline.

Scope of the project includes earthwork to construct the canal prism, concrete
lining and the construction of thirty-five reinforced concrete structures. In
addition, Granite will construct a reservoir and excavate approximately 344,000
cubic yards of borrow needed to complete the work. The reservoir will be open
for community use once the project is completed.

Construction will begin this month with an estimated completion date December
2010.

About Granite

Granite Construction Incorporated is a member of the S&P 400 Midcap Index, the
Domini 400 Social Index and the Russell 2000. Granite Construction Company, a
wholly owned subsidiary, is one of the nation's largest diversified heavy civil
contractors and construction materials producers. Granite Construction Company
serves public and private sector clients through its offices and subsidiaries
nationwide. For more information about Granite, please visit their website at
www.graniteconstruction.com.

Granite Construction Incorporated
Jacque Fourchy, 831-761-4714 (Investor)

Copyright Business Wire 2009