Dozens of jobs have been lost at a Scots aviation firm that has trained hundreds of thousands of pilots over its 95-year history.
Air Service Training (Engineering) Limited (AST), based in Perth, has been training engineers and airline pilots for nearly a century.
The firm, a wholly owned subsidiary of UHI Perth, is a partner of the University of the Highlands and Islands.
Based at Perth Airport, AST was established in 1931 to provide approved courses in aircraft engineering and has trained over 190,000 engineers and pilots from approximately 150 countries.
Shona Campbell of Henderson Loggie has been appointed as administrator to the firm and said the company had struggled financially post-pandemic due to falling student numbers.
Reduced commercial contracts and rising costs have also put significant strain on its cash flow.
UHI Perth has stepped in to provide funding to ensure the BSc in Aircraft Maintenance Engineering and Management programme will continue until the end of the academic year.
However, all other courses will end immediately, and around 28 jobs will be lost with some staff retained to until the summer to deliver the courses.
164 students are currently attending courses in the UK, of which 46 are on the BSc. A further 98 attend AST courses at overseas locations.
Commenting on her appointment, Shona Campbell said: “AST has faced prolonged financial challenges, making this a difficult but necessary decision.
“Our priority now is to support staff and ensure they receive the support and assistance they are entitled to.
“We will work closely with all affected parties to manage this transition as smoothly as possible and ensure optimum returns to creditors, including students.”
A spokesperson for UHI Perth said: “AST has been experiencing financial challenges for some time. The Board of the Company has been considering its future and, having exhausted all options to save the Company, has taken the difficult decision to place AST in administration.
“Our primary concern throughout the process has been our staff and our students, and we have worked with the administrator in an attempt to ensure the most acceptable possible outcome for all of them.”
The aviation regulatory bodies UK Civil Aviation Authority (UK CAA) and the European Union Aviation Safety Agency (EASA) have been informed of the decision and will work with the administrator to ensure their regulatory and statutory requirements are respected.
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