"local add, incoming add upon merge" incorrect message

Hi

I picked up a strange one with "local add, incoming add upon merge". I
thought that this message means I've added a copy of this file locally and
my trunk version also added this file to it's tree. (svn 1.6). According to
the svn info, the trunk version doesn't have the file. Is this correct
behaviour/message?

----
kiren_at_Pillay2:~/tmp/delete/aaronsChanges/v1-4-3-AM-CR3159-BatchActivations$
svn info
business_services/main_servlet/src/main/resources/testconfigs/pams.properties
Path:
business_services/main_servlet/src/main/resources/testconfigs/pams.properties
Name: pams.properties
URL: svn://bcx-svn/
vodacom.za/pams/server/branches/v1-4-3-AM-CR3159-BatchActivations/business_services/main_servlet/src/main/resources/testconfigs/pams.properties
Repository Root: svn://bcx-svn/vodacom.za
Repository UUID: 5545304e-a938-48f1-8c5a-7cf7c6df13d1
Revision: 9841
Node Kind: file
Schedule: normal
Last Changed Author: kiren
Last Changed Rev: 9673
Last Changed Date: 2012-06-26 10:47:45 +0200 (Tue, 26 Jun 2012)
Text Last Updated: 2012-07-25 17:42:47 +0200 (Wed, 25 Jul 2012)
Checksum: 0c70c81698528185a3a80d704f423c3f
Tree conflict: local add, incoming add upon merge
  Source  left: (file) svn://bcx-svn/
vodacom.za/pams/server/branches/V1-1-1-preprod/business_services/main_servlet/src/main/resources/testconfigs/pams.properties_at_6896
  Source right: (file) svn://bcx-svn/
vodacom.za/pams/server/trunk/business_services/main_servlet/src/main/resources/testconfigs/pams.properties_at_9841
---------
kiren_at_Pillay2:~/tmp/delete/aaronsChanges/v1-4-3-AM-CR3159-BatchActivations$
svn diff svn://bcx-svn/
vodacom.za/pams/server/branches/V1-1-1-preprod/business_services/main_servlet/src/main/resources/testconfigs/pams.properties_at_6896svn://bcx-svn/
vodacom.za/pams/server/trunk/business_services/main_servlet/src/main/resources/testconfigs/pams.properties_at_9841
svn: 'svn://bcx-svn/
vodacom.za/pams/server/branches/V1-1-1-preprod/business_services/main_servlet/src/main/resources/testconfigs/pams.properties'
*was not found in the repository at revision 6896*