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LSB INDUSTRIES, INC. Director's Dealing 2007

Jun 9, 2007

32699_dirs_2007-06-08_8a7d50de-f81c-4c38-8ccb-e192de1fefb5.zip

Director's Dealing

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SEC Form 3 — Initial Statement of Beneficial Ownership

Issuer: LSB INDUSTRIES INC (LXU)
CIK: 0000060714
Period of Report: 2007-05-29

Reporting Person: Golsen Family LLC (10% Owner)

Holdings (Non-Derivative)

Security Shares Ownership
Common Stock 867276 Direct
Common Stock 1512099 Indirect
Common Stock 283955 Indirect

Holdings (Derivative)

Security Exercise Price Expiration Underlying Shares Ownership
Series B Preferred $ Common Stock (133333) Direct
Series D Preferred $ Common Stock (250000) Indirect
Series B Preferred $ Common Stock (400000) Indirect
$3.25 Preferred, Class C $ Common Stock (39177) Indirect
Series B Preferred $ Common Stock (133333) Indirect
$3.25 Preferred, Class C $ Common Stock (60749) Indirect

Footnotes

F1: The beneficial ownership of the shares listed in this report was acquired upon the contribution to the reporting person on May 29, 2007, of 867,276 shares of common stock, 4,000 shares of Series B Preferred, and 49% of the common stock of SBL Corporation ("SBL") by the owners of the reporting person. The reporting person (the "LLC") disclaims beneficial ownership of the Issuer securities held by the LLC except to the extent of its pecuniary interest therein. The LLC is owned by Jack E. Golsen (Chairman and Chief Executive Officer of the Issuer), his spouse, Sylvia Golsen, his sons, Barry H. Golsen (Director and President of the Issuer) and Steven J. Golsen (executive officer of a subsidiary of the Issuer), and his daughter, Linda G. Rappaport. Jack E. Golsen and his spouse are the managers of the LLC and, in such capacity, share voting and dispositive power over the Issuer securities owned by the LLC. See footnote (2) for a discussion of the ownership of SBL.

F2: SBL is wholly owned by the LLC (49% owner), Barry Golsen (17% owner), Steven Golsen (17% owner), and Linda Rappaport (17% owner).

F3: These shares are owned of record by Golsen Petroleum Corp., a wholly-owned subsidiary of SBL.

F4: Each share of the Company's Series "B" 12% Cumulative Preferred Stock is convertible, at the option of the holder, into 33.3333 shares of the Issuer's common stock. Each share is convertible as long as such is outstanding.

F5: Each share of Series "D" Preferred is convertible at the option of the holder into 4 shares of the Issuer's common stock. Each share is convertible, as long as such is outstanding.

F6: Each share of the Company's $3.25 Convertible Exchangeable Class C Preferred Stock, Series 2 is convertible at the option of the holder into 4.329 shares of the Company's Common Stock. Each share is convertible as long as such is outstanding.