Business Segment Information

Our financial results are presented as two reportable segments: Retail and Foodservice. Costs that are directly attributable to either Retail or Foodservice are charged directly to the appropriate segment. Costs that are deemed to be indirect, excluding corporate expenses and other unusual significant transactions, are allocated to the two reportable segments using a reasonable methodology that is consistently applied.

Retail - The vast majority of the products we sell in the Retail segment are sold through sales personnel, food brokers and distributors in the United States. We have placement of products in grocery produce departments through our refrigerated salad dressings, vegetable dips and fruit dips. Our flatbread products and sprouted grain bakery products are generally placed in the specialty bakery/deli section of the grocery store. We also have products typically marketed in the shelf-stable section of the grocery store, which include salad dressing, slaw dressing and croutons. Within the frozen food section of the grocery store, we sell yeast rolls, garlic breads and mini stuffed bagels.

Foodservice - The vast majority of the products we sell in the Foodservice segment are sold through sales personnel, food brokers and distributors in the United States. Most of the products we sell in the Foodservice segment are custom-formulated and include salad dressings, sandwich and dipping sauces, frozen breads and yeast rolls. The majority of our Foodservice sales are products sold under private label to restaurants. We also manufacture and sell various branded Foodservice products to distributors. Finally, within this segment, we sell other roll products under a transitional co-packing arrangement resulting from the Omni acquisition.

As many of our products are similar between our two segments, our procurement, manufacturing, warehousing and distribution activities are substantially integrated across our operations in order to maximize efficiency and productivity. Consequently, we do not prepare, and our Chief Operating Decision Maker does not review, separate balance sheets for the reportable segments. As such, our external reporting does not include the presentation of identifiable assets by reportable segment. The composition of our identifiable assets at December 31, 2018 is generally consistent with that of June 30, 2018. However, due to the acquisitions of Bantam in October 2018 and Omni in November 2018, the amount of Retail and Foodservice assets increased as compared to June 30, 2018.

We continue to evaluate our Retail and Foodservice segments based on net sales and operating income which follow:



	Three Months Ended December 31,						Six Months Ended December 31,
	2018			2017			2018			2017
Net Sales
Retail	$	186,302		$	179,286		$	349,050		$	341,430
Foodservice	163,279			140,379			317,185			277,151
Total	$	349,581		$	319,665		$	666,235		$	618,581
Operating Income
Retail	$	44,785		$	37,318		$	78,733		$	70,187
Foodservice	19,405			13,411			38,266			28,101
Corporate Expenses	(3,035		)	(3,614		)	(6,724		)	(6,997		)
Total	$	61,155		$	47,115		$	110,275		$	91,291

The following table sets forth net sales disaggregated by class of similar products for the Retail and Foodservice segments:



	Three Months Ended December 31,				Six Months Ended December 31,
	2018		2017		2018		2017
Retail
Frozen breads	$	89,902	$	87,863	$	147,410	$	146,483
Refrigerated dressings, dips and other	55,204		51,058		117,073		114,458
Shelf-stable dressings and croutons	41,196		40,365		84,567		80,489
Total Retail net sales	$	186,302	$	179,286	$	349,050	$	341,430
Foodservice
Dressings and sauces	$	115,925	$	104,386	$	231,837	$	207,445
Frozen breads and other	43,518		35,993		81,512		69,706
Other roll products	3,836		—		3,836		—
Total Foodservice net sales	$	163,279	$	140,379	$	317,185	$	277,151
Total net sales	$	349,581	$	319,665	$	666,235	$	618,581

The following table provides an additional disaggregation of Foodservice net sales by type of customer:



	Three Months Ended December 31,				Six Months Ended December 31,
	2018		2017		2018		2017
Foodservice
National accounts	$	120,652	$	105,362	$	236,227	$	205,774
Branded and other	38,791		35,017		77,122		71,377
Other roll products	3,836		—		3,836		—
Total Foodservice net sales	$	163,279	$	140,379	$	317,185	$	277,151