Report: N. Korea says to enter 'state of war' against South Korea

North Korea said on Saturday it was entering a "state of war" with South Korea in a continuing escalation of tough rhetoric against Seoul and Washington after coming under international sanctions for its nuclear test.

"From this time on, the North-South relations will be entering the state of war and all issues raised between the North and the South will be handled accordingly," a statement carried by the North's official KCNA news agency said. (Reuters)