There was a bit of a "glitch"
it seems that the rune runenrs (where people used to have Classic characters that would run chars through to act 4 hell [ no level res you see on classic]) turned the characters into EXPANSION chars just after the reset, however the trouble was the server saw them as "neew" characters and gave 'em ladder tags.
blizzard "hope" to sort it out soon, but it is possible it will mean another reset from what has been posted.