Casual shoe manufacturer Phoenix Footwear Group Inc on Tuesday reported a sharp fall in third quarter net income to $551,000 from $817,000 in the year-ago period as it was hit by a $205,000 charge for impairment of property. The Maine-based company, whose brands include Trotters and Softwalk, said net sales slipped to $9.5m from $12.9m in 2001 although that year-ago figure included $3.2m in sales generated by previously divested brands.