Amazon trims Kindle price tag to $299

NEW YORK (AP) — Amazon.com Inc. cut the price of its Kindle electronic reading device to $299 on Wednesday in an effort to attract more bookworms and make the gadget a mainstream hit.

The new price is $60 below the tag the Kindle has had since May 2008. The product originally debuted at $399 in 2007.

Amazon spokeswoman Cinthia Portugal said the price cut, a classic move in electronics marketing, is not just a short-term promotion.

"We've been able to increase the volume of Kindles we're manufacturing and decrease the cost of doing so," Portugal said.

Amazon has not disclosed Kindle sales figures, and the publishing industry has said e-books account for less than 1 percent of book sales.