How can I optimize binary file reading in Matlab?

As I explained in my last question ( http://www.experts-exchange.com/Programming/Languages/MatLab/Q_24268148.html , thanks yuk99 for the help), I developed a function to read a binary raw data file in Matlab.

Each data sample is stored in the file in 2 bytes, it ranges from 0 to 4095 (12 bits).
In the 2 bytes corresponding to a data sample, the upper 4 bits contain an annotation information, and the 12 other bits contain the data sample.

My code works fine for files with small size, but I need to read a file with a size of about 500 Mb, and following error occurs:

 ??? Error using ==> fread
 Out of memory. Type HELP MEMORY for your options.

Could someone help me optimize my code to avoid this error?
fid=fopen(FILENAME,'r','ieee-le');
 
% Read all 2 bytes samples in 16 bits integers and retransform values in binary
A2=dec2bin(fread(fid,inf,'uint16','ieee-le'),16);
 
% Close file
fclose(fid);
 
% Create an array containing the 12 bits of data
sample=bin2dec(A2(:,5:16));

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JulienVanAsked:
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yuk99Commented:
This is common problem in Matlab. Read this doc, it may give you some ideas.
http://www.mathworks.com/support/tech-notes/1100/1106.html
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yuk99Commented:
Can you actually upgrade? Working with uints will save you some memory.

Another useful doc: http://www.mathworks.com/access/helpdesk/help/techdoc/matlab_prog/brh72ex-25.html
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masheikCommented:
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