diff --git a/src/GitHub.Api/OutputProcessors/StatusOutputProcessor.cs b/src/GitHub.Api/OutputProcessors/StatusOutputProcessor.cs
index 99f11ebe3..3cbb45a65 100644
--- a/src/GitHub.Api/OutputProcessors/StatusOutputProcessor.cs
+++ b/src/GitHub.Api/OutputProcessors/StatusOutputProcessor.cs
@@ -120,13 +120,11 @@ public override void LineReceived(string line)
                     }
                     else
                     {
+                        var secondPosition = false;
                         if (proc.IsAtWhitespace)
                         {
                             proc.SkipWhitespace();
-                        }
-                        else
-                        {
-                            staged = true;
+                            secondPosition = true;
                         }
 
                         if (proc.Matches('M'))
@@ -137,19 +135,42 @@ public override void LineReceived(string line)
 
                             path = proc.ReadToEnd().Trim('"');
                             status = GitFileStatus.Modified;
+                            staged = !secondPosition;
                         }
                         else if (proc.Matches('D'))
                         {
-                            //D  deploy.cmd
                             proc.MoveNext();
+
+                            if (proc.Matches('D') || proc.Matches('U'))
+                            {
+                                //DD  deploy.cmd - unmerged, both deleted
+                                //DU  deploy.cmd - unmerged, deleted by us
+
+                                status = GitFileStatus.Unmerged;
+                            }
+                            else if(proc.IsAtWhitespace)
+                            {
+                                //D  deploy.cmd
+                                // D deploy.cmd
+
+                                status = GitFileStatus.Deleted;
+                                staged = !secondPosition;
+                            }
+                            else
+                            {
+                                HandleUnexpected(line);
+                                return;
+                            }
+
                             proc.SkipWhitespace();
 
                             path = proc.ReadToEnd().Trim('"');
-                            status = GitFileStatus.Deleted;
                         }
                         else if (proc.Matches('R'))
                         {
                             //R  README.md -> README2.md
+                            // R README.md -> README2.md
+
                             proc.MoveNext();
                             proc.SkipWhitespace();
 
@@ -163,19 +184,61 @@ public override void LineReceived(string line)
                             originalPath = files[0];
                             path = files[1];
                             status = GitFileStatus.Renamed;
+                            staged = !secondPosition;
                         }
                         else if (proc.Matches('A'))
                         {
-                            //A  something added.txt
                             proc.MoveNext();
+                            if (proc.Matches('A') || proc.Matches('U'))
+                            {
+                                //AA  deploy.cmd - unmerged, both added
+                                //AU  deploy.cmd - unmerged, added by us
+
+                                status = GitFileStatus.Unmerged;
+                            }
+                            else if (proc.IsAtWhitespace)
+                            {
+                                //A  something added.txt
+                                // A something added.txt
+
+                                status = GitFileStatus.Added;
+                                staged = !secondPosition;
+                            }
+                            else
+                            {
+                                HandleUnexpected(line);
+                                return;
+                            }
+
+                            proc.SkipWhitespace();
+
+                            path = proc.ReadToEnd().Trim('"');
+                        }
+                        else if (proc.Matches('U'))
+                        {
+                            proc.MoveNext();
+                            if (proc.Matches('D') || proc.Matches('A') || proc.Matches('U'))
+                            {
+                                //UD  deploy.cmd - unmerged, deleted by them
+                                //UA  deploy.cmd - unmerged, added by them
+                                //UU  deploy.cmd - unmerged, both modified
+
+                                status = GitFileStatus.Unmerged;
+                            }
+                            else
+                            {
+                                HandleUnexpected(line);
+                                return;
+                            }
+
                             proc.SkipWhitespace();
 
                             path = proc.ReadToEnd().Trim('"');
-                            status = GitFileStatus.Added;
                         }
                         else
                         {
                             HandleUnexpected(line);
+                            return;
                         }
                     }
 
diff --git a/src/tests/UnitTests/IO/StatusOutputProcessorTests.cs b/src/tests/UnitTests/IO/StatusOutputProcessorTests.cs
index 299ce511a..f40377f8a 100644
--- a/src/tests/UnitTests/IO/StatusOutputProcessorTests.cs
+++ b/src/tests/UnitTests/IO/StatusOutputProcessorTests.cs
@@ -37,6 +37,38 @@ public void ShouldParseDirtyWorkingTreeUntracked()
             });
         }
 
+        [Test]
+        public void ShouldParseUnmergedStates()
+        {
+            var output = new[]
+            {
+                "## master",
+                "DD something1.txt",
+                "AU something2.txt",
+                "UD something3.txt",
+                "UA something4.txt",
+                "DU something5.txt",
+                "AA something6.txt",
+                "UU something7.txt",
+                null
+            };
+
+            AssertProcessOutput(output, new GitStatus
+            {
+                LocalBranch = "master",
+                Entries = new List<GitStatusEntry>
+                {
+                    new GitStatusEntry("something1.txt", TestRootPath + @"\something1.txt", null, GitFileStatus.Unmerged),
+                    new GitStatusEntry("something2.txt", TestRootPath + @"\something2.txt", null, GitFileStatus.Unmerged),
+                    new GitStatusEntry("something3.txt", TestRootPath + @"\something3.txt", null, GitFileStatus.Unmerged),
+                    new GitStatusEntry("something4.txt", TestRootPath + @"\something4.txt", null, GitFileStatus.Unmerged),
+                    new GitStatusEntry("something5.txt", TestRootPath + @"\something5.txt", null, GitFileStatus.Unmerged),
+                    new GitStatusEntry("something6.txt", TestRootPath + @"\something6.txt", null, GitFileStatus.Unmerged),
+                    new GitStatusEntry("something7.txt", TestRootPath + @"\something7.txt", null, GitFileStatus.Unmerged),
+                }
+            });
+        }
+
         [Test]
         public void ShouldParseDirtyWorkingTreeTrackedAhead1Behind1()
         {