Sec Form 4 Filing - RYDLUND PAUL @ LSB INDUSTRIES INC - 2011-03-09

FORM 4 Check this box if no longer subject to Section 16. Form 4 or Form 5 obligations may continue. See Instruction 1(b).

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934, Section 17(a) of the Public Utility Holding Company Act of 1935 or Section 30(h) of the Investment Company Act of 1940

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1. Name and Address of Reporting Person RYDLUND PAUL 2. Issuer Name and Ticker or Trading Symbol LSB INDUSTRIES INC [ LXU] 5. Relationship of Reporting Person(s) to Issuer (Check all applicable) _____ Director _____ 10% Owner X __ Officer (give title below) _____ Other (specify below) Senior Vice President (Last) (First) (Middle) 16 SOUTH PENNSYLVANIA AVENUE 3. Date of Earliest Transaction (MM/DD/YY) 03/09/2011 (Street) OKLAHOMA CITY, OK73107 4. If Amendment, Date Original Filed (MM/DD/YY) 6. Individual or Joint/Group Filing (Check Applicable Line) __ X __ Form filed by One Reporting Person _____ Form filed by More than One Reporting Person (City) (State) (Zip)

Table I - Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned 1.Title of Security (Instr. 3) 2. Transaction Date (MM/DD/YY) 2A. Deemed Execution Date, if any (MM/DD/YY) 3. Transaction Code (Instr. 8) 4. Securities Acquired (A) or Disposed of (D) (Instr. 3, 4 and 5) 5. Amount of Securities Beneficially Owned Following Reported Transaction(s) (Instr. 3 and 4) 6. Ownership Form: Direct (D) or Indirect (I) (Instr. 4) 7. Nature of Indirect Beneficial Ownership (Instr. 4) Code V Amount (A) or (D) Price Common Stock 03/09/2011 M 3,500 A $ 2.73 3,500 I By Trust ( 1 ) Common Stock 03/09/2011 S 3,500 D $ 36.04 0 I By Trust ( 1 )

Table II - Derivative Securities Acquired, Disposed of, or Beneficially Owned ( e.g. , puts, calls, warrants, options, convertible securities) 1. Title of Derivative Security (Instr. 3) 2. Conversion or Exercise Price of Derivative Security 3. Transaction Date (MM/DD/YY) 3A. Deemed Execution Date, if any (MM/DD/YY) 4. Transaction Code (Instr. 8) 5. Number of Derivative Securities Acquired (A) or Disposed of (D) (Instr. 3, 4, and 5) 6. Date Exercisable and Expiration Date (MM/DD/YY) 7. Title and Amount of Underlying Securities (Instr. 3 and 4) 8. Price of Derivative Security (Instr. 5) 9. Number of Derivative Securities Beneficially Owned Following Reported Transaction(s) (Instr. 4) 10. Ownership Form of Derivative Security: Direct (D) or Indirect (I) (Instr. 4) 11. Nature of Indirect Beneficial Ownership (Instr. 4) Code V (A) (D) Date Exercisable Expiration Date Title Amount or Number of Shares Incentive Stock Option ( 2 ) $ 2.73 03/09/2011 M 3,500 ( 2 ) 09/29/2011 Common Stock 3,500 ( 2 ) 0 D Incentive Stock Option ( 2 ) $ 5.1 ( 2 ) 11/17/2015 Common Stock 8,000 8,000 D

Reporting Owners Reporting Owner Name / Address Relationships Director 10% Owner Officer Other RYDLUND PAUL 16 SOUTH PENNSYLVANIA AVENUE OKLAHOMA CITY, OK73107 Senior Vice President Signatures Paul Rydlund 03/30/2011 Signature of Reporting Person Date

Explanation of Responses:

( 1 )Immediately after the reporting person acquired these shares upon the exercise of the stock option as reported in Table II, the shares were transferred by the reporting person into a trust of which the reporting person is settlor and trustee, with voting and dispositive power over the securities held in the trust. ( 2 )Incentive Stock Options ("ISO") granted by the Issuer to the reporting person under the Issuer's incentive stock option plan. Each ISO allows the purchase of shares of the Issuer's common stock upon the exercise thereof. Each ISO expires 10 years from the date of grant, and each ISO is currently fully vested and exercisable. As of the date of this report, the total number of shares of common stock underlying all ISOs is 8,000.

Reminder: Report on a separate line for each class of securities beneficially owned directly or indirectly.

* If the form is filed by more than one reporting person, see Instruction 4(b)(v).

** Intentional misstatements or omissions of facts constitute Federal Criminal Violations. See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).

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