--- a/mercurial/patch.py	Mon Nov 25 12:12:42 2013 -0500
+++ b/mercurial/patch.py	Wed Nov 27 18:39:00 2013 +0100
@@ -721,8 +721,9 @@
             if self.remove:
                 self.backend.unlink(self.fname)
             else:
-                self.lines[:] = h.new()
-                self.offset += len(h.new())
+                l = h.new(self.lines)
+                self.lines[:] = l
+                self.offset += len(l)
                 self.dirty = True
             return 0
 
@@ -1016,9 +1017,10 @@
         return old, oldstart, new, newstart
 
 class binhunk(object):
-    'A binary patch file. Only understands literals so far.'
+    'A binary patch file.'
     def __init__(self, lr, fname):
         self.text = None
+        self.delta = False
         self.hunk = ['GIT binary patch\n']
         self._fname = fname
         self._read(lr)
@@ -1026,7 +1028,9 @@
     def complete(self):
         return self.text is not None
 
-    def new(self):
+    def new(self, lines):
+        if self.delta:
+            return [applybindelta(self.text, ''.join(lines))]
         return [self.text]
 
     def _read(self, lr):
@@ -1035,14 +1039,19 @@
             hunk.append(l)
             return l.rstrip('\r\n')
 
+        size = 0
         while True:
             line = getline(lr, self.hunk)
             if not line:
                 raise PatchError(_('could not extract "%s" binary data')
                                  % self._fname)
             if line.startswith('literal '):
+                size = int(line[8:].rstrip())
                 break
-        size = int(line[8:].rstrip())
+            if line.startswith('delta '):
+                size = int(line[6:].rstrip())
+                self.delta = True
+                break
         dec = []
         line = getline(lr, self.hunk)
         while len(line) > 1:
@@ -1265,6 +1274,62 @@
         gp = gitpatches.pop()
         yield 'file', ('a/' + gp.path, 'b/' + gp.path, None, gp.copy())
 
+def applybindelta(binchunk, data):
+    """Apply a binary delta hunk
+    The algorithm used is the algorithm from git's patch-delta.c
+    """
+    def deltahead(binchunk):
+        i = 0
+        for c in binchunk:
+            i += 1
+            if not (ord(c) & 0x80):
+                return i
+        return i
+    out = ""
+    s = deltahead(binchunk)
+    binchunk = binchunk[s:]
+    s = deltahead(binchunk)
+    binchunk = binchunk[s:]
+    i = 0
+    while i < len(binchunk):
+        cmd = ord(binchunk[i])
+        i += 1
+        if (cmd & 0x80):
+            offset = 0
+            size = 0
+            if (cmd & 0x01):
+                offset = ord(binchunk[i])
+                i += 1
+            if (cmd & 0x02):
+                offset |= ord(binchunk[i]) << 8
+                i += 1
+            if (cmd & 0x04):
+                offset |= ord(binchunk[i]) << 16
+                i += 1
+            if (cmd & 0x08):
+                offset |= ord(binchunk[i]) << 24
+                i += 1
+            if (cmd & 0x10):
+                size = ord(binchunk[i])
+                i += 1
+            if (cmd & 0x20):
+                size |= ord(binchunk[i]) << 8
+                i += 1
+            if (cmd & 0x40):
+                size |= ord(binchunk[i]) << 16
+                i += 1
+            if size == 0:
+                size = 0x10000
+            offset_end = offset + size
+            out += data[offset:offset_end]
+        elif cmd != 0:
+            offset_end = i + cmd
+            out += binchunk[i:offset_end]
+            i += cmd
+        else:
+            raise PatchError(_('unexpected delta opcode 0'))
+    return out
+
 def applydiff(ui, fp, backend, store, strip=1, eolmode='strict'):
     """Reads a patch from fp and tries to apply it.
 

--- a/tests/test-import-git.t	Mon Nov 25 12:12:42 2013 -0500
+++ b/tests/test-import-git.t	Wed Nov 27 18:39:00 2013 +0100
@@ -320,6 +320,115 @@
   045c85ba38952325e126c70962cc0f9d9077bc67 644   mbinary1
   a874b471193996e7cb034bb301cac7bdaf3e3f46 644   mbinary2
 
+Binary file and delta hunk:
+
+  $ hg import -d "1000000 0" -m delta - <<'EOF'
+  > diff --git a/delta b/delta
+  > new file mode 100644
+  > index 0000000000000000000000000000000000000000..8c9b7831b231c2600843e303e66b521353a200b3
+  > GIT binary patch
+  > literal 3749
+  > zcmV;W4qEYvP)<h;3K|Lk000e1NJLTq006iE002D*0ssI2kt{U(0000PbVXQnQ*UN;
+  > zcVTj606}DLVr3vnZDD6+Qe|Oed2z{QJOBU=M@d9MRCwC#oC!>o#}>x{(W-y~UN*tK
+  > z%A%sxiUy2Ys)0Vm#ueArYKoYqX;GuiqZpgirM6nCVoYk?YNAz3G~z;BZ~@~&OQEe4
+  > zmGvS5isFJI;Pd_7J+EKxyHZeu`^t4r2>F;h-+VK3{_{WoGv8dSpFDYDrA%3UX03pt
+  > zOaVoi0*W#P6lDr1$`nwPDWE7*rhuYM0Y#YtiZTThWeO<D6i}2YpqR<%$s>bRRaI42
+  > zS3iFIxJ8Q=EnBv1Z7?pBw_bLjJb3V+tgP(Tty_2R-mR#p04x78n2n7MSOFyt4i1iv
+  > zjxH`PPEJmgD7U?IK&h;(EGQ@_DJc<@01=4fiNXHcKZ8LhZQ8T}E3U4tUS3}OrcgQW
+  > zWdX{K8#l7Ev&#$ysR)G#0*rC+<WGZ3?CtG4bm-ve>Dj$|_qJ`@D*stNP_AFUe&x!Q
+  > zJ9q9B7Z=ym)MyZ?Tg1ROunUYr81nV?B@!tYS~5_|%gfW#(_s<4UN1!Q?Dv8d>g#m6
+  > z%*@R2@bI2JdnzxQ!EDU`$eQY!tgI~Zn$prz;gaXNod5*5p(1Bz=P$qfvZ$y?dC@X~
+  > zlAD+NAKhB{=;6bMwzjqn>9mavvKOGd`s%A+fBiL>Q;xJWpa72C+}u{JTHUX>{~}Qj
+  > zUb%hyHgN~c?cBLjInvUALMD9g-aXt54ZL8AOCvXL-V6!~ijR*kEG$&Mv?!pE61OlI
+  > z8nzMSPE8F7bH|Py*RNl1VUCggq<V)>@_6gkEeiz7{rmTeuNTW6+KVS#0FG%IHf-3L
+  > zGiS21vn>WCCr+GLx^!uNetzB6u3o(w6&1C2?_LW8ij$+$sZ*zZ`|US3H@8N~%&V%Z
+  > zAeA0HdhFS=$6|nzn3%YH`SN<>DQRO;Qc^)dfdvA^5u`Xf;Zzu<ZQHgG?28V-#s<;T
+  > zzkh#LA)v7gpoE5ou3o*GoUUF%b#iht&kl9d0)><$FE1}ACr68;uCA`6DrGmz_U+rp
+  > zL>Rx;X_yhk$fP_yJrTCQ|NgsW0A<985g&c@k-NKly<>mgU8n||ZPPV<`SN8#%$+-T
+  > zfP$T!ou8jypFVwnzqhxyUvIxXd-wF~*U!ht=hCH1wzjqn9x#)IrhDa;S0JbK^z_$W
+  > zd(8rX@;7|t*;GJ5h$SZ{v(}+UBEs$4w~?{@9%`_Z<P<kox5bMWuUWH(sF9hONgd$Q
+  > zunCgwT@1|CU9+;X^4z&|M~@yw23Ay50NFWn=FqF%yLZEUty;AT2??1oV@B)Nt))J7
+  > zh>{5j2@f7T=-an%L_`E)h;mZ4D_5>?7tjQtVPRo2XU-&;mX(!l-MSTJP4XWY82JAC
+  > z@57+y&!1=P{Mn{W8)-HzEsgAtd63}Cazc>O6vGb>51%@9DzbyI3?4j~$ijmT95_IS
+  > zS#r!LCDW%*4-O7CGnkr$xXR1RQ&UrA<CQt}^73NL%zk`)Jk!yxUAt-1r}ggLn-Zq}
+  > z*s){8pw68;i+kiG%CpBKYSJLLFyq&*U8}qDp+kpe&6<Vp(Z58%l#~>ZK?&s7y?b}i
+  > zuwcOgO%x-27A;y785zknl_{sU;E6v$8{pWmVS{KaJPpu`i;HP$#flY@u~Ua~K3%tN
+  > z-LhrNh{9SoHgDd%WXTc$$~Dq{?AWou3!H&?V8K{^{P9Ot5vecD?%1&-E-ntBFj87(
+  > zy5`QE%QRX7qcHC%1{Ua}M~}L6=`wQUNEQ=I;qc+ZMMXtK2T+0os;jEco;}OV9z1w3
+  > zARqv^bm-85xnRCng3OT|MyVSmR3ND7^?KaQGG!^(aTbo1N;Nz;X3Q9FJbwK6`0?Yp
+  > zj*X2ac;Pw3!I2|JShDaF>-gJmzm1NLj){rk&o|$E^WAsfrK=x&@B!`w7Hik81sPz4
+  > zuJTaiCppM>-+c!wPzcUw)5@?J4U-u|pJ~xbWUe-C+60k^7>9!)56DbjmA~`OJJ40v
+  > zu3hCA7eJXZWeN|1iJLu87$;+fS8+Kq6O`aT)*_x@sY#t7LxwoEcVw*)cWhhQW@l%!
+  > z{#Z=y+qcK@%z{p*D=8_Fcg278AnH3fI5;~yGu?9TscxXaaP*4$f<LIv!^5Lfr%vKg
+  > zpxmunH#%=+ICMvZA~wyNH%~eMl!-g^R!cYJ#WmLq5N8viz#J%%LPtkO?V)tZ81cp>
+  > z{ALK?fNPePmd;289&M8Q3>YwgZX5GcGY&n>K1<x)!`;Qjg&}bb!Lrnl@xH#kS~VYE
+  > zpJmIJO`A3iy+Y3X`k>cY-@}Iw2Onq`=!ba3eATgs3yg3Wej=+P-Z8WF#w=RXvS@J3
+  > zEyhVTj-gO?kfDu1g9afo<RkPrYzG#_yF41IFxF%Ylg>9lx6<clPweR-b7Hn+r)e1l
+  > zO6c6FbNt@;;*w$z;N|H>h{czme)_4V6UC4hv**kX2@L^Bgds$(&P7M4dhfmWe)!=B
+  > zR3X=Y{P9N}p@-##@1ZNW1YbVaiP~D@8m&<dzEP&cO|87Ju#j*=;wH~Exr>i*Hpp&@
+  > z`9!Sj+O;byD~s8qZ>6QB8uv7Bpn&&?xe;;e<M4F8KEID&pT7QmqoSgq&06adp5T=U
+  > z6DH*4=AB7C1D9Amu?ia-wtxSAlmTEO96XHx)-+rKP;ip$pukuSJGW3P1aUmc2yo%)
+  > z&<t3F>d1X+1qzaag-%x+eKHx{?Afz3GBQSw9u0lw<mB+I#v11TKRpKWQS+lvVL7=u
+  > zHr6)1ynEF<i3kO6A8&ppPMo-F=PnWfXkSj@i*7J6C<F}wR?s(O0niC?t+6;+k}pPq
+  > zrok&TPU40rL0ZYDwenNrrmPZ`gjo@DEF`7^cKP||pUr;+r)hyn9O37=xA`3%Bj-ih
+  > z+1usk<%5G-y+R?tA`qY=)6&vNjL{P?QzHg%P%>`ZxP=QB%DHY6L26?36V_p^{}n$q
+  > z3@9W=KmGI*Ng_Q#AzA%-z|Z^|#oW(hkfgpuS$RKRhlrarX%efMMCs}GLChec5+y{6
+  > z1Qnxim_C-fmQuaAK_NUHUBV&;1c0V)wji<RcdZ*aAWTwyt>hVnlt^asFCe0&a@tqp
+  > zEEy;$L}D$X6)wfQNl8gu6Z>oB3_RrP=gTyK2@@w#LbQfLNHj>Q&z(C5wUFhK+}0aV
+  > zSohlc=7K+spN<ctf}5KgKqNyJDNP9;LZd)nTE=9|6Xdr9%Hzk63-tL2c9FD*rsyYY
+  > z!}t+Yljq7-p$X;4_YL?6d;mdY3R##o1e%rlPxrsMh8|;sKTr~^QD#sw3&vS$FwlTk
+  > zp1#Gw!Qo-$LtvpXt#ApV0g)^F=qFB`VB!W297x=$mr<$>rco3v$QKih_xN!k6;M=@
+  > zCr?gDNQj7tm@;JwD;Ty&NlBSCYZk(b3dZeN8D4h2{r20dSFc7;(>E&r`s=TVtzpB4
+  > zk+^N&zCAiRns(?p6iBlk9v&h{1ve(FNtc)td51M>)TkXhc6{>5C)`fS$&)A1*CP1%
+  > zld+peue4aYbg3C0!+4mu+}vE^j_feX+ZijvffBI7Ofh#RZ*U3<3J5(+nfRCzexqQ5
+  > zgM&##Y4Dd{e%ZKjqrbm@|Ni}l4jo!AqtFynj3Xsd$o^?yV4$|UQ(j&UWCH>M=o_&N
+  > zmclXc3i|Q#<;#EoG>~V}4unTHbUK}u=y4;rA3S&vzC3^aJP!&D4RvvGfoyo(>C>la
+  > zijP<=v>X{3Ne&2BXo}DV8l0V-jdv`$am0ubG{Wuh%CTd|l9Q7m;G&|U@#Dvbhlj(d
+  > zg6W{3ATxYt#T?)3;SmIgOP4M|Dki~I_TX7SxP0x}wI~DQI7Lhm2BI7gph(aPIFAd;
+  > zQ&UsF`Q{rOz+z=87c5v%@5u~d6dWV5OlX`oH3cAH&UlvsZUEo(Q(P|lKs17rXvaiU
+  > zQcj}IEufi1+Bnh6&(EhF{7O3vLHp`jjlp0J<M1kh$+$2xGm~Zk7OY7(q=&Rdhq*RG
+  > zwrmcd5MnP}xByB_)P@{J>DR9x6;`cUwPM8z){yooNiXPOc9_{W-gtwxE5TUg0vJk6
+  > zO#JGruV&1cL6VGK2?+_YQr4`+EY8;Sm$9U$uuGRN=uj3k7?O9b+R~J7t_y*K64ZnI
+  > zM+{aE<b(v?vSmw;9zFP!aE266zHIhlmdI@^xa6o2jwdRk54a$>pcRbC29ZyG!Cfdp
+  > zutFf`Q`vljgo!(wHf=)F#m2_MIuj;L(2ja2YsQRX+rswV{d<H`Ar;(@%aNa9VPU8Z
+  > z;tq*`y}dm#NDJHKlV}uTIm!_vAq5E7!X-p{P=Z=Sh668>PuVS1*6e}OwOiMc;u3OQ
+  > z@Bs)w3=lzfKoufH$SFuPG@uZ4NOnM#+=8LnQ2Q4zUd+nM+OT26;lqbN{P07dhH{jH
+  > zManE8^dLms-Q2;1kB<*Q1a3f8kZr;xX=!Qro@`~@xN*Qj>gx;i;0Z24!~i2uLb`}v
+  > zA?R$|wvC+m^Ups=*(4lDh*=UN8{5h(A?p#D^2N$8u4Z55!q?ZAh(iEEng9_Zi>IgO
+  > z#~**JC8hE4@n{hO&8btT5F*?nC_%LhA3i)PDhh-pB_&1wGrDIl^*=8x3n&;akBf^-
+  > zJd&86kq$%%907v^tgWoQdwI`|oNK%VvU~S#C<o^F?6c48?Cjj#-4P<>HFD%&|Ni~t
+  > zKJ(|#H`$<5W+6ZkBb213rXonKZLB+X>^L}J@W6osP3piLD_5?R!`S}*{xLBzFiL4@
+  > zX+}l{`A%?f@T5tT%ztu60p;)be`fWC`tP@WpO=?cpf8Xuf1OSj6d3f@Ki(ovDYq%0
+  > z{4ZSe`kOay5@=lAT!}vFzxyemC{sXDrhuYM0Y#ZI1r%ipD9W11{w=@&xgJ}t2x;ep
+  > P00000NkvXXu0mjfZ5|Er
+  > 
+  > literal 0
+  > HcmV?d00001
+  > 
+  > EOF
+  applying patch from stdin
+
+  $ hg manifest --debug | grep delta
+  9600f98bb60ce732634d126aaa4ac1ec959c573e 644   delta
+
+  $ hg import -d "1000000 0" -m delta - <<'EOF'
+  > diff --git a/delta b/delta
+  > index 8c9b7831b231c2600843e303e66b521353a200b3..0021dd95bc0dba53c39ce81377126d43731d68df 100644
+  > GIT binary patch
+  > delta 49
+  > zcmZ1~yHs|=21Z8J$r~9bFdA-lVv=EEw4WT$qRf2QSa5SIOAHI6(&k4T8H|kLo4vWB
+  > FSO9ZT4bA`n
+  > 
+  > delta 49
+  > zcmV-10M7rV9i<(xumJ(}ld%Di0Xefm0vrMXpOaq%BLm9I%d>?9Tm%6Vv*HM70RcC&
+  > HOA1;9yU-AD
+  > 
+  > EOF
+  applying patch from stdin
+
+  $ hg manifest --debug | grep delta
+  56094bbea136dcf8dbd4088f6af469bde1a98b75 644   delta
+
 Filenames with spaces:
 
   $ sed 's,EOL$,,g' <<EOF | hg import -d "1000000 0" -m spaces -
@@ -334,7 +443,7 @@
   applying patch from stdin
 
   $ hg tip -q
-  12:47500ce1614e
+  14:4b79479c9a6d
 
   $ cat "foo bar"
   foo
@@ -357,7 +466,7 @@
   applying patch from stdin
 
   $ hg tip -q
-  13:6757efb07ea9
+  15:9cbe44af4ae9
 
   $ cat foo3
   foo
@@ -392,8 +501,8 @@
 Invalid base85 content
 
   $ hg rollback
-  repository tip rolled back to revision 14 (undo import)
-  working directory now based on revision 14
+  repository tip rolled back to revision 16 (undo import)
+  working directory now based on revision 16
   $ hg revert -aq
   $ hg import -d "1000000 0" -m invalid-binary - <<"EOF"
   > diff --git a/text2 b/binary2