While I think that it's pretty much straightforward, it could lead to people thinking reset may also happen to teams fail to reach the WC. It's like saying one of two paths lead to death. And no mention of what happens in the other path. They could add: the other path doesn't lead to death.
While it mentions only teams that reach the WC from the repechage gets a reset, I do feel that some managers who are bringing in the team into the repechage the first time should get a personalized notification informing them about this. This is try prevent bad advice or other managers manipulating managers from other countries for their own personal agenda.