Last time we walked into a K-mart we didn’t notice a special rumor -- “this could totally be here, we swear” -- section. Instead, we found aisles and aisles of shelves bursting with Martha Stewart branded stuff. But a corporation has to do what it has to do to fend off the Wal-Mart empire. Earlier this morning, K-mart revealed a stunning new ad on its Web site, essentially confirming a new PS3 SKU and a lower price.

The ad says, “The rumors are reality: new low price & a new exciting PlayStation 3.”

The picture in the ad is of a current generation PS3, but the ad is obviously playing off of PS3 Slim rumors. We'll sniff around with this new stuff in tow, but chances are we won't be able to confirm anything until Sony makes an announcement -- if there is a hardware announcement to make -- at gamescom.

[Update: K-mart is straight listing a PS3 Slim, slating for a August 24th release. Thanks,  Eques-Ardor]

[Update 2: Also, they have stats under the description. This alleged Slim model will have a 120 GB HDD, a Dual Shock 3 controller, and HDMI output.

[Update 3: HEY THIS THING IS REAL!]