Zix (ZIXI) 8-K Other Events

Exhibit 10.7

DESCRIPTION OF
ZIX CORPORATION 2007 MANAGEMENT VARIABLE COMPENSATION PLAN

     The Company’s 2007 Management Variable Compensation Plan (the “Plan”) provides for variable compensation to be paid to certain Company employees, based upon the achievement by December 31, 2007 relative to the metrics listed below. A total of $554,000 is available for payment under the Plan. A total of nine employees are eligible to participate in the Plan, as of May 3, 2007.

Achievement of Plan based on performance in these full-year business areas:

Secure Messaging — New First Year Orders

Core Product Revenue Growth

Number of New Healthcare Payors for the Company’s e-prescribing Service

New Physicians Sponsored by Healthcare Payors

Cumulative Active Physician Precribers

Script Volume Per Quarter (by Q4)

Non-restricted Cash Balance as of December 31, 2007