Seems to be working correctly now. I will let you know if there are more problems.
I'm seeing something a little different, the alerts are fine, EXCEPT when some one posts a review, even after clicking it, it still pops up as a new alert, and I have to click "mark it as read" for it to go away! Had 9 reviews today, and every single one I had to manually click to get them to go away or they would keep showing as alerts! WEIRD!
@The Heretic if you have multiple Alerts for the same thread, i.e. a Like for one of your posts and a New Post and maybe a Quoted Your Post, when you view the thread all of the Alerts for that thread go away. That might be why you are seeing the number reduce by more than one sometimes.