OPERATING SEGMENTS

We have two operating segments: (1) Business to Business Products Group and (2) Retail and Wholesale Products Group. These operating segments are managed separately and each segment's major customers have different characteristics. The Retail and Wholesale Products Group customers include: mass merchandisers; wholesale clubs; drugstore chains; pet specialty retail outlets; dollar stores; retail grocery stores; distributors of industrial cleanup and automotive products; environmental service companies; and sports field product users. The Business to Business Products Group customers include: processors and refiners of edible oils, petroleum-based oils and biodiesel fuel; manufacturers of animal feed and agricultural chemicals; distributors of animal health and nutrition products; and marketers of consumer products. Our operating segments are also our reportable segments. The accounting policies of the segments are the same as those described in Note 1 of the Notes to the Consolidated Financial Statements included in our Annual Report on Form 10-K for the fiscal year ended July 31, 2018.

Net sales for our principal products by segment are as follows (in thousands):



	Business to Business Products Group				Retail and Wholesale Products Group
	For the Nine Months Ended April 30,
Product	2019		2018		2019		2018
Cat Litter	$	9,943	$	10,018	$	101,754	$	93,997
Industrial and Sports	—		—		25,509		25,536
Agricultural and Horticultural	18,320		18,182		—		—
Bleaching Clay and Fluids Purification	38,116		37,639		1,820		1,628
Animal Health and Nutrition	11,446		13,387		—		—
Net Sales	$	77,825	$	79,226	$	129,083	$	121,161

	Business to Business Products Group				Retail and Wholesale Products Group
	For the Three Months Ended April 30,
Product	2019		2018		2019		2018
Cat Litter	$	3,441	$	2,945	$	34,141	$	29,711
Industrial and Sports	—		—		10,080		9,850
Agricultural and Horticultural	5,622		5,203		—		—
Bleaching Clay and Fluids Purification	13,662		12,094		623		502
Animal Health and Nutrition	3,316		4,542		—		—
Net Sales	$	26,041	$	24,784	$	44,844	$	40,063

We do not rely on any segment asset allocations and we do not consider them meaningful because of the shared nature of our production facilities; however, we have estimated the segment asset allocations below for those assets for which we can reasonably determine. The unallocated asset category is the remainder of our total assets. The asset allocation is estimated and is not a measure used by our chief operating decision maker about allocating resources to the operating segments or in assessing their performance.



	Assets
	April 30, 2019		July 31, 2018
	(in thousands)
Business to Business Products Group	$	64,544	$	65,143
Retail and Wholesale Products Group	90,859		89,623
Unallocated Assets	43,075		39,916
Total Assets	$	198,478	$	194,682

Net sales and operating income for each segment are provided below. The corporate expenses line includes certain unallocated expenses, including primarily salaries, wages and benefits, purchased services, rent, utilities and depreciation and amortization associated with corporate functions such as research and development, information systems, finance, legal, human resources and customer service. Corporate expenses also include the estimated annual incentive plan bonus accrual. Other income for the third quarter and the first nine months of fiscal year 2019 included net proceeds upon resolution of legal proceedings. The amount received under a confidential agreement resolving such legal proceedings was material to our financial results for the period.



	For the Nine Months Ended April 30,
	Net Sales				Income
	2019		2018		2019			2018
	(in thousands)
Business to Business Products Group	$	77,825	$	79,226	$	21,758		$	26,191
Retail and Wholesale Products Group	129,083		121,161		6,823			7,010
Net Sales	$	206,908	$	200,387
Corporate Expenses					(22,424		)	(20,509		)
Income from Operations					6,157			12,692
Total Other Income (Expense), Net					4,219			(487		)
Income before Income Taxes					10,376			12,205
Income Tax Expense					(1,599		)	(6,666		)
Net Income					8,777			5,539
Net Loss Attributable to Noncontrolling Interest					(35		)	—
Net Income Attributable to Oil-Dri					$	8,812		$	5,539


	For the Three Months Ended April 30,
	Net Sales				Income
	2019		2018		2019			2018
	(in thousands)
Business to Business Products Group	$	26,041	$	24,784	$	7,454		$	7,556
Retail and Wholesale Products Group	44,844		40,063		4,161			2,223
Net Sales	$	70,885	$	64,847
Corporate Expenses					(9,288		)	(6,485		)
Income from Operations					2,327			3,294
Total Other Income, Net					4,377			1
Income before Income Taxes					6,704			3,295
Income Tax (Expense) Benefit					(1,143		)	290
Net Income					5,561			3,585
Net Loss Attributable to Noncontrolling Interest					(58		)	—
Net Income Attributable to Oil-Dri					$	5,619		$	3,585