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Following up on yesterday's rumor that the Xbox 360 Premium model will soon fall to $299, Joystiq has received (from a separate source) what we believe may be the full-page Kmart ad confirming the price drop . However, our new source says that the flyer is actually for the week of July 13 (E3 week!) and not the originally reported week of July 6. We're attempting to get a better quality scan (this latest image is courtesy of another cell phone) and hope to update by this evening.

Update: We now have a very good quality scan of the page. Click the image above to check it out.

[Thanks to everyone assisting in this story!!]

This article was originally published on Joystiq.

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