Lütjens's standing priority was merchant shipping, not a prestige battle against British heavy escorts. British agents reported the sortie, and HMS Naiad briefly sighted the German ships near the Iceland-Faroes gap. Admiral John Tovey nevertheless decided that the sighting was probably an illusion and increasingly believed the raiders had returned to port. Lütjens withdrew north, refueled, and used his familiar Denmark Strait route to enter the Atlantic. That misjudgment gave him the operational initiative even though Britain had assembled battleships, cruisers, and destroyers to intercept him. The opening of Operation Berlin therefore owed as much to an opponent rejecting good reconnaissance as to German stealth.
Chapter · 2:30:29-2:38:04
Operation Berlin began by winning the intelligence contest
British agents and HMS Naiad reported the sortie, but Tovey discounted the evidence and gave Lütjens time to refuel, use Denmark Strait, and choose his first convoy target.