Dunoon the popularity of overseas travel increased. In 1961, during the height of the Cold War, Dunoon became a garrison town to the United States Navy. In 1992, they closed their Holy Loch base, and Dunoon suffered an economic downturn. Since the base's closure, the town and surrounding area are again turning to tourism, marketing to outdoor enthusiasts and wildlife lovers as well as promoting festivals and competitions. The largest annual event held in the town is the Cowal Highland Gathering. The Royal National Mòd has been held in the town seven times and in 2018 will again be held at
Highland Scottish Orkney Coaches Ltd) by Stagecoach Group had been finalised. Highland Scottish can be traced back to 1952 when Highland Omnibuses was created when Highland Transport, Macrae & Dick and Alexanders Town Services in Inverness were joined together. In the reorganisation of the Scottish Bus Group, in 1985, to prepare for deregulation and privatisation, the company was renamed Highland Scottish Omnibuses Ltd. Unlike many of the original SBG subsidiaries, Highland's operating area remained largely unchanged. No additional territory was gained, but Oban was transferred to Midland Scottish. The red and grey livery used by Highland Omnibuses was retained for the fleet.