To reduce memory you could possible have some of the graphics downloaded from a application server. Maybe some text documents, or png files you are using. You could actually have majority of your resources installed after the application is installed from a application server such Amazon s3
EDIT:
If you are using String buffer, think it might be to do with a performance optimisation of the StringBuffer toString() method.
The Sun javadoc says the following:
This method can be coded so as to create a new String object without allocating new memory to hold a copy of the character sequence. Instead, the string can share the memory used by the string buffer. Any subsequent operation that alters the content or capacity of the string buffer must then make a copy of the internal buffer at that time. This strategy is effective for reducing the amount of memory allocated by a string concatenation operation when it is implemented using a string buffer.
Because you maybe re-using the StringBuffer with the setLength(0) it might be keeping a reference to all the Strings it's created with toString().
Replace:
.setLength(0);
with:
"Your String buffer" = new StringBuffer();
and see if that resolves it. I don't think this will be any more overhead since in both cases you'll need to create a new char[] array, since in the first case the array is being used by the String created with toString().
Also, you should consider using a StringBuilder as they are preferred to StringBuffer.
Check here