Themed "transform your dad," the retailer is offering two free tickets to the movie with the purchase of $50 in menswear, and will promote the giveaway with a national TV spot running both in English and Spanish.

While that phase of the promotion ends on a Father's Day (June 21), the second phase -- running through July 4 -- steers shoppers toward a "dedicated Transformers destination boutique," the company says, located in the front of each Kmart retail location. In addition to Transformer toys, it will also push video games, men's and boy's apparel, and bedding linked to the new film.

Hasbro, which introduced Transformers 25 years ago, unveiled the new line at toy stores around the country Memorial Day weekend, including action figures; a Bumblebee movie voice mixer, a helmet that allows kids to create realistic robot battle sound, and the Devastator, a Decepticon robot made of six separate construction vehicles.

In order to make the most of its affiliation with the film, due out June 24 from DreamWorks Pictures and Paramount Pictures, Kmart is also working with Burger King, which will distribute toy and footwear coupons through its BK Kids Meal, redeemable at Kmart. And Mars Snackfood is also participating, putting together Transformer-themed window displays and in-store events at both Penn Station and Astor Place, New York City store locations.

Kmart will promote the tie-ins through circulars, email blasts, and Transformers-themed gift cards, as well as a 24-page comic book, including coupons, which it will distribute in some theaters during the promotion.

Separately, 7-Eleven announced its Transformers tie-in, featuring four different movie-scene Slurpee cups, character straws, and a 28-ounce sip helmet mug. Its Slurpee flavor of the month is Bumblebee Blast, in honor of one of the movie's Autobots.

While discounters like Wal-Mart Stores have been doing well in the softer economy, Kmart, a subsidiary of Sears Holdings Corp., has been struggling. Last week, Sears said Kmart's comparable-store sales had fallen 2.1% in the first quarter.

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