diff --git a/django/utils/translation/trans_real.py b/django/utils/translation/trans_real.py
index 8486fdf8f4..827337c837 100644
--- a/django/utils/translation/trans_real.py
+++ b/django/utils/translation/trans_real.py
@@ -463,10 +463,11 @@ def templatize(src):
                 else:
                     singular.append('%%(%s)s' % t.contents)
             elif t.token_type == TOKEN_TEXT:
+                contents = t.contents.replace('%', '%%')
                 if inplural:
-                    plural.append(t.contents)
+                    plural.append(contents)
                 else:
-                    singular.append(t.contents)
+                    singular.append(contents)
         else:
             if t.token_type == TOKEN_BLOCK:
                 imatch = inline_re.match(t.contents)
diff --git a/tests/regressiontests/i18n/commands/extraction.py b/tests/regressiontests/i18n/commands/extraction.py
index 7b064d1daa..116dfa6420 100644
--- a/tests/regressiontests/i18n/commands/extraction.py
+++ b/tests/regressiontests/i18n/commands/extraction.py
@@ -38,6 +38,17 @@ class ExtractorTests(TestCase):
         return self.assert_(not re.search('^msgid %s' % msgid, s, re.MULTILINE))
 
 
+class TemplateExtractorTests(ExtractorTests):
+
+    def test_templatize(self):
+        os.chdir(self.test_dir)
+        management.call_command('makemessages', locale=LOCALE, verbosity=0)
+        self.assert_(os.path.exists(self.PO_FILE))
+        po_contents = open(self.PO_FILE, 'r').read()
+        self.assertMsgId('I think that 100%% is more that 50%% of anything.', po_contents)
+        self.assertMsgId('I think that 100%% is more that 50%% of %\(obj\)s.', po_contents)
+
+
 class JavascriptExtractorTests(ExtractorTests):
 
     PO_FILE='locale/%s/LC_MESSAGES/djangojs.po' % LOCALE
diff --git a/tests/regressiontests/i18n/commands/templates/test.html b/tests/regressiontests/i18n/commands/templates/test.html
index 7574efa863..e1c3eee573 100644
--- a/tests/regressiontests/i18n/commands/templates/test.html
+++ b/tests/regressiontests/i18n/commands/templates/test.html
@@ -1,3 +1,5 @@
 {% load i18n %}
 {% trans "This literal should be included." %}
-{% trans "This literal should also be included wrapped or not wrapped depending on the use of the --no-wrap option." %}
\ No newline at end of file
+{% trans "This literal should also be included wrapped or not wrapped depending on the use of the --no-wrap option." %}
+{% blocktrans %}I think that 100% is more that 50% of anything.{% endblocktrans %}
+{% blocktrans with 'txt' as obj %}I think that 100% is more that 50% of {{ obj }}.{% endblocktrans %}
\ No newline at end of file