diff -r 6217040b2780 -r 1792b8a9422b mercurial/merge.py
--- a/mercurial/merge.py	Sat Mar 05 16:34:59 2011 -0600
+++ b/mercurial/merge.py	Mon Mar 07 15:03:10 2011 -0600
@@ -540,7 +540,7 @@
         action += manifestmerge(repo, wc, p2, pa, overwrite, partial)
 
         ### apply phase
-        if not branchmerge or fastforward: # just jump to the new rev
+        if not branchmerge: # just jump to the new rev
             fp1, fp2, xp1, xp2 = fp2, nullid, xp2, ''
         if not partial:
             repo.hook('preupdate', throw=True, parent1=xp1, parent2=xp2)
@@ -549,7 +549,7 @@
 
         if not partial:
             repo.dirstate.setparents(fp1, fp2)
-            recordupdates(repo, action, branchmerge and not fastforward)
+            recordupdates(repo, action, branchmerge)
             if not branchmerge and not fastforward:
                 repo.dirstate.setbranch(p2.branch())
     finally: