EMERYVILLE -- LeapFrog's stock plummeted by more than 8 percent after Toys R Us disclosed plans to push into the tablet market with a WiFi-capable offering for kids called the Tabeo.

Toys R Us said it is offering a tablet with a 7-inch display, priced at about $150, that is due to start shipping in October.

Emeryville-based LeapFrog's tablets, with 5-inch displays, are smaller than the Toys R Us Tabeo. They also are less expensive, priced at about $80 to $100, but they have much more limited functionality.

Word of the new tablet forced LeapFrog's shares down 8.7 percent, or 80 cents a share. The stock finished at $8.35.

Contact George Avalos at 925-977-8477. Follow him at twitter.com/george_avalos.