I was facing an issue with Evolution connecting to MS exchange IMAP mail server for quite sometime. It was reporting the following errors:

"No such folder"
"Lost connection to exchange server"

Every time i face this issue, I had to restart evolution so many times. It would be fixed on a random basis. Or, I had to delete the ~/.evolution directory and run evolution, thus it would recreate the complete settings from scratch. With this, my folder settings is lost. I had to configure the settings for each folders, like changing the sort behavior, adding/removing columns, etc. again. It was irritating.

Now, I found a work around though it is not a professional fix. When we face this issue, we can remove the problematic folder alone for fixing this issue. For instance, if the error is occurred while accessing "svn-commits" folder, we can remove the following directory:

$ cd ~/.evolution/mail/exchange/user@exchange.corp.com/personal/subfolders
$ rm -rf svn-commits

It would re-initialize the setting for that folder alone. Thus, the problem is fixed and evolution settings except the settings for this folder are kept intact.