EXHIBIT 10.7 ROBINSON NUGENT, INC. SUMMARY OF ROBINSON NUGENT, INC. BONUS PLAN TO EXECUTIVE OFFICERS The Board of Directors has adopted a bonus plan for executive officers and key employees for fiscal year 1995. The terms of the plan are the same as the Company's bonus plan for the prior year, or fiscal year 1994. Executive officers are eligible for a first tier bonus award provided the consolidated pretax income of the Company and subsidiaries for fiscal year 1995 exceeds the reported pretax income for fiscal year 1994. A second tier, or added, bonus award is payable to executive officers provided the consolidated pretax income for fiscal year 1995 exceeds the pretax income objectives outlined in the fiscal year 1995 annual financial plan. The bonus awards under both tiers are predicated upon a formula whereby bonuses increase in proportion to level of pretax income over the prior year and financial plan objectives, respectively. The maximum bonus award for executive officers approximates 26 percent to 36 percent of base compensation. 23