No quite CLASSIFIED but still smells fishy.
Uh - It's first designated as SECRET, a classification level, then it's deemed NOFORN, a status that keeps it away from allies who might otherwise have access to that level of classification.
It is classified. It's classified as "SECRET". The NOFORN additionally means that foreign individuals with a Secret level of clearance still aren't supposed to see it (like NATO countries).
I haven't seen anything yet that suggests that any TOP SECRET materials were compromised. This means the kid may have only had a SECRET level clearance in the first place. A SECRET clearance does not require a full-on background check (with field interviews and all that). It requires an extensive application with life history info, bank info, and some references that are generally phone-interviews. It's thorough for what it is, but it's not as extensive as a TS clearance background investigation.