before you trash it, save a text file, hello.txt, with
var1=Hello %3e%3e%3eS1n0Byt3%7d%3a%3e&

in Flash have a dynamic textfield, instance name - myText
and a frame action -

myData = new LoadVars();
myData.load("hello.txt");
myData.onLoad = function() {
myText.text = myData.var1;
};

does this simple example help ?

NOpe! I still get = undefined!

sorry for this late reply. flash has some bugs but in the end it will work.
use this allong whit the same hello.txt file:

on (release)
{
var myData = new LoadVars();
myData.load("hello.txt","get");
myData.onLoad = function()
{
myText = myData.var1;
};
}

see attached example if you are still interested!