diff --git a/spring-webmvc/src/main/java/org/springframework/web/servlet/mvc/annotation/ResponseStatusExceptionResolver.java b/spring-webmvc/src/main/java/org/springframework/web/servlet/mvc/annotation/ResponseStatusExceptionResolver.java
index 6bff5bd8d2..ae7a851d00 100644
--- a/spring-webmvc/src/main/java/org/springframework/web/servlet/mvc/annotation/ResponseStatusExceptionResolver.java
+++ b/spring-webmvc/src/main/java/org/springframework/web/servlet/mvc/annotation/ResponseStatusExceptionResolver.java
@@ -1,5 +1,5 @@
 /*
- * Copyright 2002-2013 the original author or authors.
+ * Copyright 2002-2015 the original author or authors.
  *
  * Licensed under the Apache License, Version 2.0 (the "License");
  * you may not use this file except in compliance with the License.
@@ -61,6 +61,10 @@ public class ResponseStatusExceptionResolver extends AbstractHandlerExceptionRes
 				logger.warn("Handling of @ResponseStatus resulted in Exception", resolveEx);
 			}
 		}
+		else if (ex.getCause() != null && ex.getCause() instanceof Exception) {
+			ex = (Exception) ex.getCause();
+			return doResolveException(request, response, handler, ex);
+		}
 		return null;
 	}
 
diff --git a/spring-webmvc/src/test/java/org/springframework/web/servlet/mvc/annotation/ResponseStatusExceptionResolverTests.java b/spring-webmvc/src/test/java/org/springframework/web/servlet/mvc/annotation/ResponseStatusExceptionResolverTests.java
index 961114c831..99b1fc682c 100644
--- a/spring-webmvc/src/test/java/org/springframework/web/servlet/mvc/annotation/ResponseStatusExceptionResolverTests.java
+++ b/spring-webmvc/src/test/java/org/springframework/web/servlet/mvc/annotation/ResponseStatusExceptionResolverTests.java
@@ -1,5 +1,5 @@
 /*
- * Copyright 2002-2014 the original author or authors.
+ * Copyright 2002-2015 the original author or authors.
  *
  * Licensed under the Apache License, Version 2.0 (the "License");
  * you may not use this file except in compliance with the License.
@@ -16,21 +16,23 @@
 
 package org.springframework.web.servlet.mvc.annotation;
 
+import static org.junit.Assert.*;
+
 import java.util.Locale;
 
 import org.junit.Before;
 import org.junit.Test;
 
+import org.springframework.beans.TypeMismatchException;
 import org.springframework.context.i18n.LocaleContextHolder;
 import org.springframework.context.support.StaticMessageSource;
 import org.springframework.http.HttpStatus;
 import org.springframework.mock.web.test.MockHttpServletRequest;
 import org.springframework.mock.web.test.MockHttpServletResponse;
+import org.springframework.tests.sample.beans.ITestBean;
 import org.springframework.web.bind.annotation.ResponseStatus;
 import org.springframework.web.servlet.ModelAndView;
 
-import static org.junit.Assert.*;
-
 /** @author Arjen Poutsma */
 public class ResponseStatusExceptionResolverTests {
 
@@ -93,6 +95,18 @@ public class ResponseStatusExceptionResolverTests {
 		assertNull("ModelAndView returned", mav);
 	}
 
+	// SPR-12903
+
+	@Test
+	public void nestedException() throws Exception {
+		Exception cause = new StatusCodeAndReasonMessageException();
+		TypeMismatchException ex = new TypeMismatchException("value", ITestBean.class, cause);
+		ModelAndView mav = exceptionResolver.resolveException(request, response, null, ex);
+		assertNotNull("No ModelAndView returned", mav);
+		assertTrue("No Empty ModelAndView returned", mav.isEmpty());
+		assertEquals("Invalid status code", 410, response.getStatus());
+	}
+
 	@ResponseStatus(HttpStatus.BAD_REQUEST)
 	@SuppressWarnings("serial")
 	private static class StatusCodeException extends Exception {
diff --git a/spring-webmvc/src/test/java/org/springframework/web/servlet/mvc/method/annotation/ServletAnnotationControllerHandlerMethodTests.java b/spring-webmvc/src/test/java/org/springframework/web/servlet/mvc/method/annotation/ServletAnnotationControllerHandlerMethodTests.java
index e7d7e1abc0..d944c46700 100644
--- a/spring-webmvc/src/test/java/org/springframework/web/servlet/mvc/method/annotation/ServletAnnotationControllerHandlerMethodTests.java
+++ b/spring-webmvc/src/test/java/org/springframework/web/servlet/mvc/method/annotation/ServletAnnotationControllerHandlerMethodTests.java
@@ -113,6 +113,7 @@ import org.springframework.web.bind.annotation.CookieValue;
 import org.springframework.web.bind.annotation.ExceptionHandler;
 import org.springframework.web.bind.annotation.InitBinder;
 import org.springframework.web.bind.annotation.ModelAttribute;
+import org.springframework.web.bind.annotation.PathVariable;
 import org.springframework.web.bind.annotation.RequestBody;
 import org.springframework.web.bind.annotation.RequestHeader;
 import org.springframework.web.bind.annotation.RequestMapping;
@@ -284,6 +285,29 @@ public class ServletAnnotationControllerHandlerMethodTests extends AbstractServl
 		assertEquals("[1, 2]-org.springframework.tests.sample.beans.TestBean", response.getContentAsString());
 	}
 
+	// SPR-12903
+
+	@Test
+	public void pathVariableWithCustomConverter() throws Exception {
+		initServlet(new ApplicationContextInitializer<GenericWebApplicationContext>() {
+			@Override
+			public void initialize(GenericWebApplicationContext context) {
+				RootBeanDefinition csDef = new RootBeanDefinition(FormattingConversionServiceFactoryBean.class);
+				csDef.getPropertyValues().add("converters", new AnnotatedExceptionRaisingConverter());
+				RootBeanDefinition wbiDef = new RootBeanDefinition(ConfigurableWebBindingInitializer.class);
+				wbiDef.getPropertyValues().add("conversionService", csDef);
+				RootBeanDefinition adapterDef = new RootBeanDefinition(RequestMappingHandlerAdapter.class);
+				adapterDef.getPropertyValues().add("webBindingInitializer", wbiDef);
+				context.registerBeanDefinition("handlerAdapter", adapterDef);
+			}
+		}, PathVariableWithCustomConverterController.class);
+
+		MockHttpServletRequest request = new MockHttpServletRequest("GET", "/myPath/1");
+		MockHttpServletResponse response = new MockHttpServletResponse();
+		getServlet().service(request, response);
+		assertEquals(404, response.getStatus());
+	}
+
 	@Test
 	public void methodNotAllowed() throws Exception {
 		initServletWithControllers(MethodNotAllowedController.class);
@@ -2370,6 +2394,26 @@ public class ServletAnnotationControllerHandlerMethodTests extends AbstractServl
 		}
 	}
 
+	@Controller
+	public static class PathVariableWithCustomConverterController {
+
+		@RequestMapping("/myPath/{id}")
+		public void myHandle(@PathVariable("id") ITestBean bean) throws Exception {
+		}
+	}
+
+	public static class AnnotatedExceptionRaisingConverter implements Converter<String, ITestBean> {
+
+		@Override
+		public ITestBean convert(String source) {
+			throw new NotFoundException();
+		}
+
+		@ResponseStatus(HttpStatus.NOT_FOUND)
+		private static class NotFoundException extends RuntimeException {
+		}
+	}
+
 	@Controller
 	public static class MethodNotAllowedController {