Use smerge minor mode in emacs to resolve conflicts.
The condition-case is used to suppress errors with emacs versions before 21.
%% no changes
%% no changes
%% uncompressed contents in repo
this is a test
%% uncompress our working dir copy
this is a test
1 files updated, 0 files merged, 0 files removed, 0 files unresolved
%% uncompress our new working dir copy
this is a test