Lacrosse Footwear Inc. saw sales increase for the third quarter of 2008, largely driven by the company’s continued penetration of the military and niche work segments. Lacrosse reported consolidated net sales of $40.3 million for the third quarter ended Sept. 27, up 9.5% from $36.8 million in the year ago period.

Net income declined 15.2% to $2.8 million, or 43 cents per diluted share, from $3.3 million, or 52 cents, in the same quarter a year ago. Results for the third quarter of 2008 include expenses of approximately $1.2 million related to the establishment and operation of the company’s new European subsidiary.

Sales to the outdoor market fell 4.6% to $20.8 million during the quarter from to $21.8 million for the same period of 2007. For the quarter, outdoor sales accounted for 52% of the company’s total sales.