South Korean Defence Ministry spokesperson Won Tae-jae says the level had been re-classified from level 3 to level 2.
"In the future, our military will resolutely counteract against rhetorical threats, but we will never allow provocative behaviour. We will firmly and strongly counteract against it."(Www.hXen.com)
South Korea has announced joining a US-led anti-proliferation programme after the North's latest nuclear test.
North Korea has threatened to attack any US and South Korean ships that try to intercept its vessels and renounced a 1953 truce halting the Korean War fighting.