Are you sure the OA is E? IMO the answer should be C.
Stmt1: xy > 0
From this, we get that both x and y are either +ve or -ve
so x 0 --> --INSUFF--
Stmt2: x + y > 0
No info on y. --INSUFF--
But combining both stmts, we get that x >0 since x + y > 0 will hold true only if x > 0 (Because if x The inequality(x + y > 0) will not hold true)
Hence IMO C.