Graham Corporation Awarded $17 Million in North American Refining Industry Orders

Includes two orders for replacement equipment of Graham ejector
systems

BATAVIA, N.Y.–(BUSINESS WIRE)–Graham
Corporation (NYSE: GHM), a global business that designs,
manufactures and sells critical equipment for the oil refining,
petrochemical, power and defense industries, announced today that it
received two orders totaling approximately $17 million, both for ejector
systems in the North American refining industry. Equipment delivery for
both orders is scheduled for the second quarter of fiscal 2019.

Equipment that the Company engineers and manufactures for the refining
market often includes large ejector systems that operate in highly
corrosive environments. Both of these orders involve the replacement of
currently installed Graham equipment, which is required due to corrosion
caused by harsh operating environments. In one instance, the components
will be replaced with the same metallurgy. In the other instance, the
end user chose replacement equipment with a special metallurgy that
offers increased corrosion resistance to extend operating life.

James R. Lines, Graham’s President and Chief Executive Officer,
commented, “We are benefiting from our large installed base, where we
have been working closely with our customers in the field. These two
orders, along with the previously announced orders this quarter, are for
existing rather than new installations. Refiners are focused on
improving operational performance and reliability of their current
process units. We expect that our large installed base will continue to
benefit us as the refining industry seeks to maximize capabilities of
its existing asset base.”

He continued, “While we are pleased with these orders and have seen an
uptick in activity from the refining market during this quarter, we do
not believe that these recent successes reflect a sustained shift in
capital spending within the refining industry.”

ABOUT GRAHAM CORPORATION

Graham is a global business that designs, manufactures and sells
critical equipment for the energy, defense and chemical/petrochemical
industries. Energy markets include oil refining, cogeneration, nuclear
and alternative power. For the defense industry, the Company’s equipment
is used in nuclear propulsion power systems for the U.S. Navy. Graham’s
global brand is built upon world-renowned engineering expertise in
vacuum and heat transfer technology, responsive and flexible service and
unsurpassed quality. Graham designs and manufactures custom-engineered
ejectors, vacuum pumping systems, surface condensers and vacuum systems.
Graham is also a leading nuclear code accredited fabrication and
specialty machining company. Graham supplies components used inside
reactor vessels and outside containment vessels of nuclear power
facilities. Graham’s equipment can also be found in other diverse
applications such as metal refining, pulp and paper processing, water
heating, refrigeration, desalination, food processing, pharmaceutical,
heating, ventilating and air conditioning. Graham’s reach spans the
globe and its equipment is installed in facilities from North and South
America to Europe, Asia, Africa and the Middle East. Graham routinely
posts news and other important information on its website, www.graham-mfg.com,
where additional comprehensive information on Graham Corporation and its
subsidiaries can be found.

Safe Harbor Regarding Forward Looking Statements

This news release contains forward-looking statements within the meaning
of Section 27A of the Securities Act of 1933, as amended, and Section
21E of the Securities Exchange Act of 1934, as amended.

Forward-looking statements are subject to risks, uncertainties and
assumptions and are identified by words such as “expects,” “estimates,”
“confidence,” “projects,” “typically,” “outlook,” “anticipates,”
“believes,” “appears,” “could,” “opportunities,” “seeking,” “plans,”
“aim,” “pursuit,” and other similar words. All statements addressing
operating performance, events, or developments that Graham Corporation
expects or anticipates will occur in the future, including but not
limited to, expected expansion and growth opportunities within its
domestic and international markets, anticipated revenue, the timing of
conversion of backlog to sales, market presence, profit margins, tax
rates, foreign sales operations, its ability to improve cost
competitiveness, customer preferences, changes in market conditions in
the industries in which it operates, changes in commodities prices, the
effect on its business of volatility in commodities prices, changes in
general economic conditions and customer behavior, forecasts regarding
the timing and scope of the economic recovery in its markets, its
acquisition and growth strategy and the expected performance of Energy
Steel & Supply Co. and its operations in China and other international
locations, are forward-looking statements. Because they are
forward-looking, they should be evaluated in light of important risk
factors and uncertainties. These risk factors and uncertainties are more
fully described in Graham Corporation’s most recent Annual Report filed
with the Securities and Exchange Commission, included under the heading
entitled “Risk Factors.”

Should one or more of these risks or uncertainties materialize, or
should any of Graham Corporation’s underlying assumptions prove
incorrect, actual results may vary materially from those currently
anticipated. In addition, undue reliance should not be placed on Graham
Corporation’s forward-looking statements. Except as required by law,
Graham Corporation disclaims any obligation to update or publicly
announce any revisions to any of the forward-looking statements
contained in this news release.

Contacts

Graham Corporation
Jeffrey F. Glajch, 585-343-2216
Vice
President – Finance and CFO
[email protected]
or
Kei
Advisors LLC
Deborah K. Pawlowski, 716-843-3908
[email protected]
or
Karen
L. Howard, 716-843-3942
[email protected]