Nintendo's president and board of directors have volunteered to take substantial pay cuts in the wake of the Nintendo 3DS markdown, company president Satoru Iwata said at an investors briefing on Friday.

Iwata's salary, reported last year to be around $770,000, will be cut by 50 percent. Iwata earned significantly more last year in bonus pay, which he said would be reduced this year because of the company's declining profits. Members of the board, including Mario creator Shigeru Miyamoto, will take lesser cuts of 30 percent and 20 percent.

"The deduction of the fixed compensation is what we volunteered to do in order to show our sincere attitude and to fulfill our responsibility," said Iwata. "We really must recover our financial performance and take Nintendo back into the position in the marketplace where it is well appreciated."

On Thursday, Nintendo slashed the price of its Nintendo 3DS portable game system from $250 to $170, citing slower than expected sales and a desire to rapidly increase the installed base prior to the holiday season.

In his opening statement before fielding questions, Iwata explained Nintendo's reasons for the timing and amount of the price cut.

"Having strong momentum is very important for game platform businesses," he said. "Once momentum is lost, great power is needed to change that trend."

Nintendo, Iwata said, wants to ensure that retailers and software makers change their attitudes about stocking and making games for Nintendo 3DS.

"Removing their concerns on the sales of Nintendo 3DS hardware will be very critical for us to be able to enrich the applicable software in the years to come," he said.