I faced an issue where the URL for example /saved/ was getting rewritten to %2Fsaved%2F, which caused the web application to give 404 error because it expects the URL without escaped/encoded characters.

I found this Stack Overflow thread related to this problem which gave the solution,

http://stackoverflow.com/questions/2443115/apache-mod-rewrite-tomcat-encoding-26-and

Add NE flag to prevent escaping -

http://httpd.apache.org/docs/2.2/rewrite/rewrite_flags.html#flag_ne