Graham and editor Bradlee first experienced challenges when they published the content of the Pentagon Papers. When Post reporters Bob Woodward and Carl Bernstein brought the Watergate story to Bradlee, Graham supported their investigative reporting and Bradlee ran stories about Watergate when few other news outlets were reporting on the matter.
In conjunction with the Watergate scandal, Graham was the subject of one of the best-known threats in American journalistic history. It occurred in 1972, when Nixon's attorney general, John Mitchell, warned reporter Carl Bernstein about a forthcoming article: "Katie Graham's gonna get her tit caught in a big fat wringer if that's published." The two words "her tit" were cut on publication."