Alignment of XLIFF files fails without error message

Passolo 2016 with .NET
Cascaded project:
-- LPU1, (en-us1 -> en-us2)
-- LPU 2 (en-us2 -> 12 targets, including German)

My project wants to from PO files to XLIFF in the hope of easier updates, thanks to IDs.

Steps so far:

  1. I have successfully added the XLIFF en-us>1 source to LPU1, validated the translation (identical, for now) and saved LPU1.
  2. Opened LPU2 updated/created source and 1 of the targets, namely German, just to test.
  3. Now trying to align LPU2/German with the existing translations in an identically structured German XLIFF file.
    1. Opened the German target string list (there is only one)
    2. Selected from menu: Scan Target File  (Alignment)
      Now in popup:
    3. Apply to --> Translation list myResource German (Germany)
    4. Align > this file > I selected the German.XLF file
    5. Language to extract shows grey [Select a language]  Note: German is not offered, although the XLIFF file specifies target language = de
    6. Options set:
      1. Align all
      2. Overwrite existing translations
      3. All strings in the target file are translated
    7. Click OK
  4. Nothing happens. No error message.

Any ideas what is happening. I enclose the En and the DE  XLIFF files.

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