Nintendo Shares Fall To Lowest In Six Years After 3DS Price Cut

Nintendo saw its share price fall to its lowest in nearly six years following the announcement that its 3DS console will receive a price slash next month. The company said yesterday that it will reduce the price of the handheld console from its current suggested retail price of $249.99 to $169.99 from August 12 in the U.S. According to financial news site Bloomberg, the industry giant's stock plunged 12 percent to ¥12,290 ($158.57) at the close of Osaka Securities Exchange on Thursday. Nintendo has not seen its stock drop so greatly since January 2009, and it has not been this low since November 2006 -- the same month and year that Nintendo launched its market-leading Wii in North America. Hiroshi Yamauchi, formerly president at Nintendo and currently the company's largest shareholder with a 10 percent stake, reportedly saw the value of his stock fall by ¥24.2 billion ($312 million). The last time Nintendo saw such a rapid fall in share prices was just after the reveal of its Wii U console at its E3 conference. Following on from the price cut, Nintendo modified its financial forecast for the current fiscal year ending March 31, 2012, reducing its expected profits for the fiscal year by a hefty 81.8 percent. Nintendo was also quick to note that current Nintendo 3DS owners are its "most important customers," after acknowledging that some fans may lose faith in the company.