Mattel Inc., as part of its drive to boost flagging sales of its iconic Barbie doll, announced Wednesday it has teamed up with Clear Channel Entertainment Productions to stage a live-action Barbie musical tour based on characters from a popular direct-to-video movie.

The 80-city theatrical production “Barbie Live in Fairytopia” will debut in spring 2006 and run for nearly two years.

The move, which is seen as the latest effort to bolster Barbie’s declining popularity with girls, follows the El Segundo-based toymaker’s release of a CD and five Barbie direct-to-video animated movies. The movie productions sold a combined 24 million units worldwide and topped the Nielsen Video Scan Charts for 25 weeks, Mattel said in a release.

The production follows an agreement Mattel reached in May with Benetton Group SpA to make a fashion collection for girls under the Barbie brand. The new line, called “Barbie Loves Benetton,” offers over 50 garments and accessories.

Mattel’s first-quarter net income, reported April 15, dropped nearly 28 percent from a year ago as sales of Barbie-related toys fell. Worldwide sales for the Barbie brand were down 15 percent and sales for the Mattel Brands business unit slipped 3 percent from the year before.

Barbie Entertainment’s March release “Barbie Fairytopia” introduced girls to the fantasy world that forms much of the theatrical production’s storyline. Mattel launched the project after market research showed that girls and their mothers wanted an extension of the movie.

Also on Wednesday, Mattel announced it was awarded a multi-year licensing agreement from 4Kids Entertainment, Inc. and Toei Animation to create action figures, play sets and games and puzzles for “One Piece,” a popular animated TV series. The toys are expected to debut in retail stores in the U.S. and Canada by December.