I was taught that any orthogonal matrix must have eigenvalues of magnitude 1, i.e. $\lambda_i=\pm1,\forall i$. However, I am given the following matrix $$ M = \frac{1}{2}\begin{pmatrix} -1 & -1 & \sqrt{2} \\ 1 & 1 & \sqrt{2} \\ \sqrt{2} & -\sqrt{2} & 0 \end{pmatrix}. $$ We can see it is orthogonal by computing $MM^T$. We also find that $\det M=-1$, so the matrix corresponds to a reflection. Thus we know there is one eigenvalue $\lambda_1=-1$ and the transformation reflects vectors along the plane whose normal is the eigenvector corresponding to $\lambda_1$.
However, trying to find the other two eigenvalues through $\operatorname{tr}{M} = \lambda_1 + \lambda_2 + \lambda_3$ I get $$ \lambda_2 + \lambda_3 = 1, $$ which contradicts $\lambda_i=\pm1$. And indeed when I calculate the characteristic polynomial I get the equation $$ \lambda^3-\lambda+1=0, $$ which is not divisible by $(\lambda+1)$, which is yet another contradiction. But in my textbook it explicitly states that an orthogonal matrix has eigenvalues $\pm1$ and that a reflection has at least one eigenvalue equal to $-1$ (which is just common sense).
Can you help me understand where my reasoning is wrong? And how to solve the remaining eigenvalues and eigenvectors?