Does "reset and erase all content" update iOS?

Hi guys,
My girlfriend has an iPhone 4 that has been giving her a lot of problems lately. I want to restore it but I don't want to update it to iOS 6 just yet. Instead of restoring through iTunes, if I restore via settings>general>"reset settings and erase all content" will that restore the phone WITHOUT updating it to iOS 6? Please let me know. Thanks

I understand that my chances of having issues are very slim. But articles like the one below make me nervous because if i update and have issues, Apple doesnt let me downgrade, meaning we would be stuck with crappy battery life and literally no way to fix it. Not a position I want to be in. I understand that the internet can blow things way out of portortion, but still.
http://www.networkworld.com/news/2012/100212-iphone-battery-262963.html
I understand that article refers to 6.0, but most of what i have read has said that people with battery issues havent seen it get better with 6.1 Thats why i was hoping to see a statistic of those affected. I just would hate to pull the trigger and have her battery die on her every afternoon. Just because 300 million are running iOS 6 doesnt mean 300 million are running it issue free. Any amount of them could be having trouble, but you would never know, because thanks to Apple, you CANT downgrade.

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