The Maritime Rescue Institute (MRI) in Stonehaven has been forced to close.
The charity is facing an insurmountable financial challenge to get back on its feet after its fleet of boats and headquarters sustained extensive damage during the high winds, rain and floods which battered the town in December.
Chief executive Ann Laing said the flood damage, combined with an ageing fleet and the economic downturn, left trustees with no choice.
“MRI is part of this community and with the doors closing there is a massive sense of loss,” she said.
“My people are shattered, having worked tirelessly over the Christmas period to try to get us up and running again, so to stumble at this hurdle is devastating.
“We have had incredible support from the people of Stonehaven but the scale of the recovery exercise following the storm has exceeded anything we could have planned for.”
The MRI has provided search and rescue services from its Stonehaven base for three decades and has saved the lives of more than 1,200 people. It has also reached out to more than 10,000 youngsters through its schools water safety programmes.
MRI chairman Colin Braithwaite said the decision to close was not taken lightly.
He said: “We are all incredibly sad at having to make what has been one of the most difficult decisions I and the other trustees have ever made.
“We have battled through the economic downturn and had a clear path to a sustainable future until the storm hit in December.
“With all our vessels damaged and out of commission, and daily bills for repairs from the storm that needed to be paid, we were unable to continue.
“The trustees looked at all possible options but inevitably came back to the same issue without cash-flow through the training activity or an immediate injection of funds, the mounting costs of getting the vessels back on the water and the repair work on our building, and with our reserves expended, we just could not continue.
“It is always sad when you realise that all the goodwill and support in the world counts for nothing when there are bills to be paid.”
The charity was initially facing a financial black hole of around £13,000 in January as it tried to cover the cost of insurance claims following the storm damage.
However, it is understood that figure has increased greatly and charity trustees have been forced to pull the plug.
Angus North and Mearns MSP Nigel Don also shared his sadness at the closure and said it will reduce the effectiveness of maritime rescue services in the North-East.
“This service had over 30 years of experience, offering waterborne rescue, training and consultancy.
“Clearly they will be missed and we owe them a debt of gratitude,” Mr Don said.
“The recent storms hit them particularly hard and I understand they had real difficulties replacing their equipment which was badly damaged.”