g1smd - 8:16 pm on Dec 14, 2011 (gmt 0)
Google reports it so you can go fix it. Those redirects give your site infinite URL space. You don't want that.
There have been several posts on the Google blog about avoiding this method; made popular by the clueless way IIS was designed.
If there is a page that is a close match, content-wise, for the requested URL then by all means redirect (301) to that URL, but otherwise serve a 404 response at the originally requested URL along with a useful page of information for the human visitor.