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 OF SECURITIES 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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(Print or Type Responses)

1. Name and Address of Reporting Person * SHEAR DAVID MICHAEL   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 VP/General Counsel/Sec (Last) (First) (Middle) 16 SOUTH PENNSYLVANIA AVENUE 3. Date of Earliest Transaction (Month/Day/Year) 08/27/2007 (Street) OKLAHOMA CITY, OK 73107 4. If Amendment, Date Original Filed(Month/Day/Year) 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 (Month/Day/Year) 2A. Deemed Execution Date, if any (Month/Day/Year) 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 08/27/2007   S   2,000 D $ 22.45 57,212 I By Trust and Spouse's Trust (1) Common Stock 08/27/2007   S   1,000 D $ 22.46 56,212 I By Trust and Spouse's Trust (1) Common Stock 08/27/2007   S   1,000 D $ 22.47 55,212 I By Trust and Spouse's Trust (1) Common Stock 08/27/2007   S   1,000 D $ 22.48 54,212 I By Trust and Spouse's Trust (1) Common Stock 08/27/2007   S   474 D $ 22.51 53,738 I By Trust and Spouse's Trust (1) Common Stock 08/27/2007   S   900 D $ 22.52 52,838 I By Trust and Spouse's Trust (1) Common Stock 08/27/2007   S   700 D $ 22.54 52,138 I By Trust and Spouse's Trust (1) Common Stock 08/27/2007   S   1,900 D $ 22.55 50,238 I By Trust and Spouse's Trust (1) Common Stock 08/27/2007   S   2,300 D $ 22.56 47,938 I By Trust and Spouse's Trust (1) Common Stock 08/27/2007   S   126 D $ 22.57 47,812 I By Trust and Spouse's Trust (1) Common Stock 08/27/2007   S   100 D $ 22.6 47,712 I By Trust and Spouse's Trust (1) Common Stock 08/27/2007   S   2,300 D $ 22.65 45,412 I By Trust and Spouse's Trust (1) Common Stock 08/27/2007   S   500 D $ 22.66 44,912 I By Trust and Spouse's Trust (1) Common Stock 08/27/2007   S   3,300 D $ 22.67 41,612 I By Trust and Spouse's Trust (1) Common Stock 08/27/2007   S   2,200 D $ 22.68 39,412 I By Trust and Spouse's Trust (1) Common Stock 08/27/2007   S   200 D $ 22.69 39,212 I By Trust and Spouse's Trust (1)

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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 (Month/Day/Year)

3A. Deemed Execution Date, if any (Month/Day/Year)

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 (Month/Day/Year)

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

Nonqualified Stock Option

$ 1.25

(2)

07/08/2009

Common Stock

26,000

26,000

D

Incentive Stock Option

$ 1.25

(2)

07/08/2009

Common Stock

50,544

50,544

D

Incentive Stock Option

$ 2.73

(2)

11/29/2011

Common Stock

15,000

15,000

D

Incentive Stock Option

$ 1.25

(3)

07/08/2009

Common Stock

12,760

12,760

I

By Spouse (3)

Nonqualified Stock Option

$ 2.73

(3)

11/29/2011

Common Stock

10,000

10,000

I

By Spouse (3)

Reporting Owners

Reporting Owner Name / Address	Relationships
	Director	10% Owner	Officer	Other
SHEAR DAVID MICHAEL 16 SOUTH PENNSYLVANIA AVENUE OKLAHOMA CITY, OK 73107			Senior VP/General Counsel/Sec

Signatures

David M. Shear		08/29/2007
**Signature of Reporting Person		Date

Explanation of Responses:

*	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).
(1)	These shares are held in a jointly owned account by Mr. Shear's revocable trust, of which he is trustee, and the revocable trust of Mr. Shear's wife, of which she is trustee. This amount does not include, and Mr. Shear disclaims beneficial ownership of 22,988 shares held by two trust established for the benefit of Mr. Shear's son and daughter of which Mr. Shear's wife is trustee and exercises investment control over the trusts' portfolio securities.
(2)	Incentive Stock Options ("ISO") and Nonqualified Stock Options ("NQSO") granted by the Issuer to Mr. Shear. All ISOs and NQSOs held by Mr. Shear are currently exercisable. As of the date of this report, the total number of shares underlying the ISOs and NQSOs held by Mr. Shear is 91,544.
(3)	Incentive Stock Options ("ISO") and Nonqualified Stock Options ("NQSO") granted by the Issuer to the reporting person's spouse. All ISOs and NQSO's held by the reporting person's spouse are currently exercisable. As of the date of this report, the total number of shares underlying the ISOs and NQSO's held by the reporting person's spouse is 22,760.

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