mercurial/merge.py

--- a/mercurial/merge.py	Thu Jan 10 00:45:51 2013 +0100
+++ b/mercurial/merge.py	Thu Jan 10 03:40:45 2013 +0100
@@ -374,8 +374,6 @@
         f, m = a[:2]
         repo.ui.progress(_('updating'), i + 1, item=f, total=numupdates,
                          unit=_('files'))
-        if f and f[0] == "/":
-            continue
         if m == "r": # remove
             repo.ui.note(_("removing %s\n") % f)
             audit(f)