On the afternoon of 22 September, she steamed into the swept channel in the approaches to Reykjavík in company with destroyer . At about 15:51, she recorded an underwater shock of undetermined origin and reported it to her escort. As "Babbitt" began searching the area, "Yukon" registered another underwater shock of lesser intensity and went to general quarters. Two minutes later at 15:52, lookouts observed a torpedo pass astern of the ship and explode about to her portside. The stores ship began making emergency turns to evade the enemy torpedoes; but, at 15:57, one struck her on the starboard side about from the stem. , commanded by "Kptlt" Johannes Meermeier, was credited with damaging her.