Jim McInally's first game in charge of Peterhead ended in defeat by Stranraer in the Scottish Third Division.
The visitors went ahead after 12 minutes when a ball into the box found the head of Frank McKeown at the near post and he coolly nodded in.
Midfielder Stephen Stirling then doubled the advantage in the 39th minute, drilling a left-footed shot from long range into the bottom corner.
Peterhead pulled one back when midfielder Bryan Deasley's cross met Rory McAllister's head and he headed home in the 68th minute.
However, Stranraer were assured of victory when, in the final minute, Michael Moore scored with a header from close range.
Peterhead: Jarvie, Donald, Wood, MacDonald, Watson (Scott Ross 56), Conway (Rattray 55), Strachan, Sellars (Wyness 66), Deasley, Bavidge, McAllister. Subs Not Used: Jellema, Davidson.
Booked: Bavidge, MacDonald, Wood, Scott Ross, Strachan, Rattray, Deasley.
Goals: McAllister 68.
Stranraer: David Mitchell, Kane, Taggart, McKeown, Noble, Gallagher, Stirling, Christopher Aitken (Daniel Mitchell 58), Winter (Shepherd 90), Malcolm, Grehan (Moore 65). Subs Not Used: Marshall, McColm.
Goals: McKeown 12, Stirling 39, Moore 90.
Ref: Barry Cook