Bug if merging a replaced file

If you try to merge a replaced file, you will get the following error if you do an update on your working copy: Working copy path 'test' does not exist in repository.

Here is a test script:
set location=c:\testsvn
set url=file:///c:/testsvn/rep

cd %location%
svnadmin create rep
svn mkdir -m "" %url%/A/
mkdir A
svn co %url%/A/ A
echo "XXX" > A\test
svn add A\test
svn commit -m "" A
svn copy -m "" %url%/A/ %url%/B/
mkdir B
svn co %url%/B/ B
svn delete B\test
echo "XXX" > B\test
svn add B\test
svn commit -m "" B
svn merge -r 3:4 %url%/B/ A
svn update A
I am using Subversion 1.2.3.
Received on Tue Sep 20 20:24:59 2005