+ hg init

+ echo nothing

+ hg add a

+ hg commit -t ancestor -u test -d '0 0'

+ echo something

+ hg commit -t branch1 -u test -d '0 0'

+ hg co 0

+ echo 'something else'

+ hg commit -t branch2 -u test -d '0 0'

+ export HGMERGE=merge

+ HGMERGE=merge

+ hg -d up -m 1

merge: warning: conflicts during merge

resolving manifests

 ancestor 1c6e5a129854 local 35fedfab3325 remote a58017859bdc

 a versions differ, resolve

working dir created .out, keeping

merging a

resolving a

file a: other d7250518cb1b ancestor 68ba9db7a9e4

merging a failed!

+ hg id

32e80765d7fe+75234512624c+ tip

+ cat a

+ grep -v '>>>'

+ grep -v '<<<'

something else

=======

something

+ hg status

C a

? .out