diff -r eb6867b98223 -r 44fa047cef57 mercurial/merge.py
--- a/mercurial/merge.py	Fri Jan 13 22:16:01 2012 +0100
+++ b/mercurial/merge.py	Wed Jan 11 15:53:42 2012 -0500
@@ -90,11 +90,16 @@
     folded = {}
     for fn in mctx:
         folded[foldf(fn)] = fn
+
+    error = False
     for fn in wctx.unknown():
         f = foldf(fn)
         if f in folded and mctx[folded[f]].cmp(wctx[f]):
-            raise util.Abort(_("untracked file in working directory differs"
-                               " from file in requested revision: '%s'") % fn)
+            error = True
+            wctx._repo.ui.warn(_("%s: untracked file differs\n") % fn)
+    if error:
+        raise util.Abort(_("untracked files in working directory differ "
+                           "from files in requested revision"))
 
 def _checkcollision(mctx, wctx):
     "check for case folding collisions in the destination context"