diff --git a/Command/Sync.hs b/Command/Sync.hs
index 61ac3802a4..50e709a2dc 100644
--- a/Command/Sync.hs
+++ b/Command/Sync.hs
@@ -223,11 +223,16 @@ resolveMerge = do
 	top <- fromRepo Git.repoPath
 	(fs, cleanup) <- inRepo (LsFiles.unmerged [top])
 	merged <- all id <$> mapM resolveMerge' fs
+	void $ liftIO cleanup
+
+	(deleted, cleanup2) <- inRepo (LsFiles.deleted [top])
+	Annex.Queue.addCommand "rm" [Params "--quiet -f --"] deleted
+	void $ liftIO cleanup2
+	
 	when merged $ do
 		Annex.Queue.flush
 		void $ inRepo $ Git.Command.runBool "commit"
 			[Param "-m", Param "git-annex automatic merge conflict fix"]
-	void $ liftIO cleanup
 	return merged
 
 resolveMerge' :: LsFiles.Unmerged -> Annex Bool
diff --git a/debian/changelog b/debian/changelog
index b1a6146001..f71a5ab635 100644
--- a/debian/changelog
+++ b/debian/changelog
@@ -13,6 +13,7 @@ git-annex (3.20130115) UNRELEASED; urgency=low
   * bugfix: Union merges involving two or more repositories could sometimes
     result in data from one repository getting lost. This could result
     in the location log data becoming wrong, and fsck being needed to fix it.
+  * sync: Automatic merge conflict resolution now stages deleted files.
   * Depend on git 1.7.7.6 for --no-edit. Closes: #698399
 
  -- Joey Hess <joeyh@debian.org>  Mon, 14 Jan 2013 18:35:01 -0400