Lesson: THR, Thrust Reduction Alt, VNAV, A/T, etc.

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Doing a crash (sorry, not a very good use of this word in our hobby!) course in the PMDG 747-400. Just wanted to see if I understand this correctly:If in VNAV with AT engaged, Thrust Reduction occurs automatically once you pass the FMC-set thrust reduction altitude.However, if not flying in VNAV--but still with AT engaged--there is no automatic thrust reduction; you must reduce thrust "manually" by hitting the THR button on the MCP at whatever your thrust reduction altitude is.Correct?Thanks for any posts!Jonathan