Wow, the British navy took a beating! The crew of
KMS Admiral Scheer must have all received medals from the Führer himself
As for the ASW fleet - when I play HoI2, I never bother with submarines and ASW fleets, simply because it requires too much attention from me (I really suck at multitasking). The submarines always run into an enemy fleet and get sunk or damaged, so they have to return to the port, and the ASW fleets have the same problem - they just don't know when to run. Instead of steaming full speed away from the enemy, they engage in a battle and (usually) end up at the bottom of the sea.
The AI also keeps combining battleships with carriers, which should make it easier to sink more capital ships
I was going to suggest exactly that.