Contractor Serco wrapped up a £450 million contract to run ferries to the Orkney and Shetland Islands on Thursday after the end of a legal challenge to the deal.
The company, one of the largest outsourcers in the country, was originally awarded the six-year deal by the SNP government in September 2019.
The contract was subsequently delayed due to a legal challenge by rival bidder CalMac Ferries against the government.
This was subsequently withdrawn in February, paving the way for Thursday's announcement.
Serco had been running the ferry service, known as the Northern Isles Ferry Services, in the interim.
The ferry route is popular with tourists and residents, moving people and goods from Aberdeen to Lerwick on the Shetland Islands and Kirkwall on the Orkney Islands. A service also runs from Scrabster to Stromness on the Orkney Islands.
Serco has run the service, branded as NorthLink Ferries, since 2012, moving passengers and freight to the remote islands.
Over the period passenger numbers have risen 18% and the number of cars and vans has risen 38%.
Serco UK chief Kevin Craven said: “We are very proud of our performance since we first won the contract in 2012, during which time we have improved almost every aspect of the service while also significantly reducing the annual subsidy and thereby lowering the burden on the Scottish taxpayer”
Upgrades to the Orkney Islands terminal facilities and a new smart ticketing system for passengers are promised.
