Save Target As converts German Umlaute to HTML entities (XML file with embedded HTML)

Question

Hi SDL Team, 
 I am using Studio to help managing the translation of a website from French into German. The input file was a SQL dump (XML format) from phpMyAdmin for which Paul kindly provided a filetype . 
 All is fine with the parser and in the editor ( image 1 : editor ) except that the generation of the target file converts German Umlaute into HTML entities. I am not sure why because, even though the source has HTML embedded inside XML, phpMyAdmin did not convert the French accented letters into HTML entities. Both headers and encodings are identical:

Source file

Target file

Must something be defined in the Writer or Entities section of the Project Properties so that the output has the same encodings as the input? 
 Philippe

Daniel Hug · Accepted Answer

Hello Philippe Noth 
 Indeed, it's in project settings: 
 
 Select which entities you want encoded in segments handled by the embedded content processor. 
 Daniel

Philippe Noth · Answer

That's it, thanks Daniel! 
 I had played with these settings but in the filetype section, not in the embedded HTML5.

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Save Target As converts German Umlaute to HTML entities (XML file with embedded HTML)

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Source file
Target file