South Korea's army and air force are preparing to hold their largest-ever live-fire exercise on Thursday near the inter-Korean border, as Seoul remains on high alert for any attacks by North Korea.

A South Korean officer says the drill at the Pocheon firing range, 20 kilometers south of the border, is a response to North Korea's deadly shelling of South Korea's Yeonpyeong island last month. South Korean General Ju Eun-shik says Seoul will "completely punish" the North if it retaliates militarily for the drill.

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