diff -r 5881d5b7552f -r 8b846dbc57b6 mercurial/merge.py
--- a/mercurial/merge.py	Tue Dec 04 12:54:18 2012 -0800
+++ b/mercurial/merge.py	Tue Dec 04 12:54:18 2012 -0800
@@ -461,7 +461,8 @@
             _checkcollision(mctx, tctx)
     if not force:
         _checkunknown(repo, tctx, mctx)
-    action += _forgetremoved(tctx, mctx, branchmerge)
+    if tctx.rev() is None:
+        action += _forgetremoved(tctx, mctx, branchmerge)
     action += manifestmerge(repo, tctx, mctx,
                             ancestor,
                             force and not branchmerge,