Sergei Baltacha had been manager of Caledonian prior to the merger and he carried on as Caledonian Thistle manager after the merger in 1994. He remained in charge for only one season, leaving in 1995 to be closer to his family in Perth. Baltacha was replaced by Huntly manager Steve Paterson, who to date is the club's longest-serving manager. During his seven and a half years as manager, from the summer of 1995 to December 2002, Paterson succeeded in taking the club to the Scottish Football League First Division. He also steered ICT to their famous 3–1 Scottish Cup victory against Celtic in 2000. In November 2002, Paterson was strongly linked to the vacant manager's position at Dundee United. However, he chose to stay with Inverness for another month, after which he left, along with assistant Duncan Shearer, to become manager of Aberdeen.