Toshiba fell to its lowest in more than three years in Tokyo trading after saying it will reduce production of NAND flash memory by 30 percent as weakened demand for data storage devices helped create a glut.
Toshiba is the worlds second-largest maker of NAND chips after Koreas Samsung, with 39 percent and 31 percent of the market respectively in the final quarter of 2011, according to IHS iSuppli, a research company. Boises Micron Technology Inc. was No. 3 with about 17 percent.
Toshiba, the worlds biggest maker of flash memory after Samsung Electronics Co., fell 3.3 percent to 267 yen, the lowest since March 2009, on the Tokyo Stock Exchange.
The output cut is Toshibas first since 2009, as demand for storage cards used in mobile devices including cameras and USB memory slumped.