They do settle a bit when the pellets are new, but not too bad. As the pellets begin to break down and you fluff the bedding, they mix together nicely.
Yay!!! I am so excited to see this! Was so bummed when it looked like it was discontinued at TSC.
I like to combine it with the horse pellets so it's not quite so expensive. This combo lasts a long time and doesn't smell bad. And as an FYI, I've had no problems using it for my ducks.