Raytech Corporation Reports It Has Received Early Warning of Delisting from New York Stock Exchange

Raytech Corporation (NYSE: RAY) ("Raytech") today
announced that it has received notice from the New York Stock Exchange
("NYSE") of revised standards for continued listing on the NYSE that
will become applicable to Raytech on July 29, 2005. The NYSE further
stated that a review of the financial condition of Raytech shows that
it is currently "below criteria" under the revised standards for
continued listing because its total market capitalization is less than
$75 million over a 30-trading-day period and its stockholders' equity
is less than $75 million.
   Raytech does not believe that it can take steps which will permit
it to satisfy the financial criteria of the NYSE. Therefore, Raytech
believes that it is likely that the NYSE will take steps to delist
Raytech after July 29, 2005. Raytech will evaluate its alternatives
and respond to any official NYSE notification promptly after it is
received.

   Raytech Corporation is a worldwide manufacturer of wet and dry
clutch, power transmission and brake systems as well as specialty
engineered polymer matrix composite products and related services for
vehicular applications, including automotive OEM, heavy duty
on-and-off highway vehicles and aftermarket vehicular power
transmission systems. Through two technology and research centers and
five manufacturing operations worldwide, Raytech develops and delivers
energy absorption, power transmission and custom-engineered components
focusing on niche applications where its expertise and technological
excellence provide a competitive edge.
   Raytech Corporation, headquartered in Shelton, Connecticut,
operates manufacturing facilities in the United States, Germany and
China as well as technology and research centers in Indiana and
Germany. The Company's operations are strategically situated in close
proximity to major customers and within easy reach of geographical
areas with demonstrated growth potential.
   Raytech common stock is listed on the New York Stock Exchange and
trades under the symbol "RAY." Company information may be accessed on
our Internet website http://www.raytech.com.