Business Segment Information

3 Months Ended

Sep. 30, 2019

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 September 30, 2019 is generally consistent with that of June 30, 2019.

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



	Three Months Ended September 30,
	2019			2018
Net Sales
Retail	$	166,077		$	162,748
Foodservice	170,977			153,906
Total	$	337,054		$	316,654
Operating Income
Retail	$	35,435		$	33,948
Foodservice	23,789			18,861
Restructuring and Impairment Charges	(886		)	—
Corporate Expenses	(6,634		)	(3,689		)
Total	$	51,704		$	49,120

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



	Three Months Ended September 30,
	2019		2018
Retail
Frozen breads	$	60,297	$	57,508
Refrigerated dressings, dips and other	62,637		61,869
Shelf-stable dressings and croutons	43,143		43,371
Total Retail net sales	$	166,077	$	162,748
Foodservice
Dressings and sauces	$	119,763	$	115,912
Frozen breads and other	43,364		37,994
Other roll products	7,850		—
Total Foodservice net sales	$	170,977	$	153,906
Total net sales	$	337,054	$	316,654

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



	Three Months Ended September 30,
	2019		2018
Foodservice
National accounts	$	123,758	$	115,575
Branded and other	39,369		38,331
Other roll products	7,850		—
Total Foodservice net sales	$	170,977	$	153,906