Muammar Gaddafi US companies to cease operating in the country, although several hundred workers remained when the Libyan government doubled their pay. Diplomatic relations also broke down with the UK, after Libyan diplomats were accused in the killing of Yvonne Fletcher, a British policewoman stationed outside their London embassy, in April 1984. In Spring 1986, the US Navy again began performing exercises in the Gulf of Sirte; the Libyan military retaliated, but failed as the US sank several Libyan ships. After the US accused Libya of orchestrating the 1986 Berlin discotheque bombing, in which two American soldiers died, Reagan decided to retaliate
Attack on the Egyptian Embassy in Pakistan second, larger bomb also detonated and the side of the building crumbled. The Japanese and Indonesian embassies were also damaged, as was a nearby bank. The two bombers, the Second Secretary for the embassy, three Egyptian security guards and 12 others including Pakistani security guards, civilians and as many as four other diplomats were killed in total, and approximately sixty were wounded. A 17th person died in the hospital the following day. It was the group's first success under Zawahiri's leadership, but Bin Laden had disapproved of the operation. The bombing alienated the host of the embassy, Pakistan, and Pakistan