was allocated a zone within the French sector. The Luxembourg 2nd Infantry Battalion was garrisoned in Bitburg and the 1st Battalion was sent to Saarburg. The final Luxembourg forces in Germany, in Bitburg, left in 1955. Soviet Zone The Soviet occupation zone incorporated Thuringia, Saxony, Saxony-Anhalt, Brandenburg and Mecklenburg-Vorpommern. The Soviet Military Administration in Germany was headquartered in Berlin-Karlshorst. At the end of October 1946, the Soviet Zone had a population of: Saxony: 5.5 million Saxony-Anhalt 4.1 million Thuringia 2.9 million Brandenburg 2.5 million Mecklenburg 2.1 million Berlin While located wholly within the Soviet zone, because of its symbolic importance as the nation's capital and seat of the former Nazi government, the city of Berlin was jointly occupied by the Allied powers and subdivided into four sectors. All four occupying powers were entitled to privileges throughout Berlin that were not extended to the rest of Germany – this included the Soviet sector of Berlin, which was legally separate from the rest of the Soviet zone. At the end of October 1946, Berlin had a population of: Western sectors 2.0 million Soviet sector 1.1 million Lost territory In 1945 Germany east of the Oder–Neisse line was assigned to Poland by the Potsdam Conference to be "temporarily administered" pending the Final Peace Treaty on Germany; eventually (under the September 1990 Peace Treaty) the northern portion of East Prussia became the Kaliningrad Oblast within the Soviet Union (today Russian Federation). A small area west of the Oder, near Szczecin, also fell to Poland. Most German citizens residing in these areas were subsequently expropriated and expelled. Returning refugees, who had fled from war hostilities, were denied return. Population In October 1946, the population of the various zones and sectors was as follows: Governance and the emergence of two German states The original Allied plan to govern Germany as a single unit through the Allied Control Council de facto broke down on 20 March 1948 (restored on 3 September 1971) in the context of growing tensions between the Allies, with Britain and the US wishing cooperation, France obstructing any collaboration in order to partition Germany into many independent states, and especially: the Soviet Union unilaterally implementing from early on elements of a Marxist political-economic system (enforced redistribution of land, nationalisation of businesses). Another dispute was the absorption of post-war expellees. While the UK, the US and the Soviet Union had agreed to accept, house and