CARLSBAD, Calif.--Orange 21 [ORNG-NASDAQ], maker of Spy Optic sunglasses and goggles, reported losses for the first quarter ended March 31, 2008, while net sales increased for the period.

The company said that consolidated net sales increased 23 percent to $11.6 million for the three month period, compared to $9.4 million for the comparable period in 2007. Its domestic net sales represented 75 percent of its sales for the period; foreign net sales represented 25 percent of sales for the quarter.

The company reported a net loss of $0.9 million for the first quarter 2008, which compared to a net loss of $1.7 million for the three-month period in 2007.

The company has two wholly-owned subsidiaries incorporated in Italy, which include Spy Optic S.r.l. and LEM, the company’s primary manufacturer.

In California, Orange 21’s wholly owned subsidiary is Spy Optic, Inc. ■