England's Kelly Smith battles for the ball with Birgit Prinz
England failed to beat Germany for the 18th successive time as the hosts won with goals from Sandra Smisek, Birgit Prinz and Melanie Behringer.
A mis-kick by England goalkeeper Rachel Brown in the 15th minute allowed Smisek to shoot into an empty net.
Kelly Smith had two good chances for the visitors before Prinz headed home a fine cross by Simone Laudehr.
And then Faye White conceded a penalty for a foul on Prinz, which substitute Behringer drilled in from the spot.
England's comparative lack of match practice was perhaps a factor in the defeat, but coach Hope Powell believed the game had been good preparation for their final two Euro 2009 qualifiers, away to the Czech Republic and Spain in the next seven weeks.
The players have worked hard in training all week and that has given us a good start to our preparations for the Euro qualifiers
Hope Powell
"Our players haven't started pre-season yet. They'd not kicked a ball in anger before the match, but I'm not making that an excuse," said Powell after the friendly in Munich.
"We knew that would be the case when we agreed to play this game and there were some tired legs out there, but we did well at times.
"The players have worked hard in training all week and that, plus the match against Germany, has given us a good start to our preparations for the Euro qualifiers we've got coming up."
Powell's team started well, but they were put on the back foot because of the dreadful error by Brown.
The Everton keeper, back in the side after a five-match absence because of a knee operation, raced 30 yards off her line and completely missed her kick as she tried to hack clear Kerstin Stegemann's lofted through-ball.
That left striker Smisek with the simple task of collecting the loose ball to shoot into an empty net.
England gradually forced their way back into the game, and in the 31st minute Smith went close with a 20-yard shot that flew just wide of the far post.
Five minutes later, the Arsenal striker ended a jinking run with a powerful 18-yard drive that goalkeeper Nadine Angerer saved on her line.
Within 60 seconds, Germany's goal queen Prinz muscled her way past two defenders to strike a low 20-yard effort inches wide
Prinz was searching for her 121st goal in 181 internationals and got it 10 minutes after the interval with a well-taken header.
The killer third goal then came in the 70th minute when Behringer scored the penalty.
England: Brown, A. Scott (Johnson 61), White, Asante, Stoney, Carney (S. Smith 77), J. Scott, Williams, Yankey, K. Smith, Sanderson (Westwood 61) Subs Not Used: Chamberlain, Telford, S. Smith, Unitt, Handley.
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