LSB INDUSTRIES, INC. — Director's Dealing 2008

Nov 21, 2008

SEC Form 4 — Statement of Changes in Beneficial Ownership

Issuer: LSB INDUSTRIES INC (LXU)
CIK: 0000060714
Period of Report: 2008-11-13

Reporting Person: RHODES HORACE G (Director)

Derivative Transactions

Date	Security	Exercise Price	Code	Shares	A/D	Expiration	Underlying	Ownership
2008-11-13	Nonqualified Stock Option	$7.86	A	5000	Acquired	2018-11-13	Common Stock (5000)	Direct

Holdings (Non-Derivative)

Security	Shares	Ownership
Common Stock	1000	Direct
Common Stock	15000	Indirect
Common Stock	500	Indirect

Footnotes

F1: These shares are held by the reporting person's revocable trust of which the reporting person is the settlor and trustee and possesses a pecuniary interest in the securities held by the Trust.

F2: These shares are held by the revocable trust of the reporting person's spouse of which the reporting person's spouse is the settlor and co-trustee and possesses a pecuniary interest in the securities held by the Trust.

F3: Nonqualified Stock Option ("NQSO") granted by the Issuer to the reporting person under the Issuer's 2008 Incentive Stock Plan. The NQSO is for a term of ten years from the date of grant, and the exercise price of the NQSO is based on the fair market value of the Issuer's common stock on the date of grant. This NQSO vests at the end of years one through six in the following amounts: 16.5%, 16.5%, 16.5%, 16.5%, 16.5% and 17.5%. This NQSO will be fully vested at the end of year six.