Don't use 'set -x', fix exports, sed and hexdump usage for Solaris.
#!/bin/sh
cat <<'EOF' > merge
#!/bin/sh
echo merging for `basename $1`
EOF
chmod +x merge
HGMERGE=./merge; export HGMERGE
mkdir A1
cd A1
hg init
echo This is file foo1 > foo
echo This is file bar1 > bar
hg add foo bar
hg commit -m "commit text" -d "0 0"
cd ..
hg clone A1 B1
cd A1
rm bar
hg remove bar
hg commit -m "commit test" -d "0 0"
cd ../B1
echo This is file foo22 > foo
hg commit -m "commit test" -d "0 0"
cd ..
hg clone A1 A2
hg clone B1 B2
cd A1
hg pull ../B1
hg update -m
hg commit -m "commit test" -d "0 0"
echo bar should remain deleted.
hg manifest
cd ../B2
hg pull ../A2
hg update -m
hg commit -m "commit test" -d "0 0"
echo bar should remain deleted.
hg manifest