Graham Corporation CFO J. Ronald Hansen to Retire

BATAVIA, NY, July 2, 2008 – Graham Corporation (AMEX: GHM) announced today that J. Ronald Hansen, the Company’s Vice President – Finance & Administration and Chief Financial Officer, plans to retire on August 1, 2008. The Company is conducting a search for his successor. Mr. Hansen, who has 40 years of financial management and public accounting experience, joined Graham in 1993. In addition to his finance, accounting and treasury responsibilities, Mr. Hansen oversees the Company’s human resources and information technology departments. Mr. Hansen will remain on in a consulting role to assist the Company while it finds his replacement and in the ensuing transition.

James R. Lines, President and CEO of Graham, noted, “Ron has been a key player in the success of the Company, as well as the navigation of Graham through various industrial cycles. Many of his decisions enhanced the growth potential of the Company, provided us the strongest balance sheet in our history, and greatly reduced risk during challenging times. He’s prepared us well for his retirement, having instilled a strong financial discipline within the organization, built a highly-skilled financial team, led the development of our performance management program and directed the measurable productivity enhancements gained through our information technology systems. He will be greatly missed, and we wish him all the best in his retirement.”

Mr. Hansen stated, “It has been a privilege to be a member of the team that has expanded the intrinsic value of Graham. My retirement does not diminish my excitement about the great future I see in Graham. I am proud of the many accomplishments we have achieved and look forward to seeing many more.”

Graham also announced that Jennifer Condame, Controller, will be appointed Chief Accounting Officer effective July 31, 2008. Ms. Condame, who joined Graham in 1992, has been the Company’s Controller since 1994. Previously, she was an Audit Manager with Pricewaterhouse Coopers LLP.