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                                                                    EXHIBIT 10.7



                           WEATHERFORD ENTERRA, INC.

                      EXECUTIVE INCENTIVE STOCK BONUS PLAN

                           AS AMENDED MARCH 20, 1996





1.       PURPOSE OF PLAN.

         This Executive Incentive Stock Bonus Plan (the "Plan") of Weatherford
International Incorporated (the "Company"), for officers and other key
employees of the Company and certain related corporations ("Key Employees"), is
intended to advance the best interest of the Company by providing those persons
who have significant ultimate responsibility for the management and planning of
the Company's operations and who directly influence the growth and profits of
the Company and those related corporations with additional opportunities for
meaningful capital accumulation, and by increasing their proprietary interest
in the success of the Company and those related corporations, encourage their
continued employment with the Company or those related corporations.  It is
desired that the benefits available under this Plan, when added to other
benefits payable to Key Employees, will furnish total compensation to those
employees which is competitive in the Company's industry.

2.       CERTAIN DEFINITIONS.

         (a)     "Board" shall mean the Board of Directors of the Company.

         (b)     "Bonus Shares" shall mean shares of Common Stock granted to a
                 Key Employee pursuant to Section 5 of the Plan.

         (c)     "Bonus Share Agreement" shall mean the agreement described in
                 Section 6 of the Plan.

         (d)     "Bonus Share Grant" shall mean a grant of Bonus Shares
                 pursuant hereto.

         (e)     "Committee" shall mean the committee specified in Section 6
                 hereof.

         (f)     "Common Stock" shall mean the Common Stock, $.10 par value per
                 share, of the Company.

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         (g)     "Company" shall mean Weatherford Enterra, Inc., a Delaware
                 corporation.

         (h)     "Fair Market Value" shall mean the closing sale price of the
                 Company's Common Stock on a Grant Date (or if Common Stock was
                 not traded on such day, the first day following the Grant Date
                 on which Common Stock was traded).

         (i)     "Grant Date" shall mean the date on which Bonus Shares are
                 awarded to a Key Employee pursuant to Section 5 of the Plan.

         (j)     "Officer" shall mean a Key Employee who is an officer of the
                 Company.

3.       SHARES SUBJECT TO THE PLAN.

         (a)     Subject to the provisions of Section 8 below, the maximum
                 aggregate number of Bonus Shares which may be granted under
                 the Plan shall be 25,179.

         (b)     Bonus Shares may be, in whole or in part, authorized but
                 unissued shares of Common Stock or shares of Common Stock
                 previously issued and outstanding and reacquired by the
                 Company.

         (c)     The Company shall have no obligation to register Bonus Shares
                 with the Securities and Exchange Commission, either prior to
                 or after same are granted to a Key Employee.

4.       ELIGIBILITY.

         The individuals who shall be eligible to receive Bonus Shares under
this Plan shall be such officers and other key employees (including officers
who may be members of the Board of Directors) of the Company, or of any
subsidiary or affiliated corporation, as the committee appointed by the Board
of Directors (the "Committee"), in its sole discretion, shall determine from
time to time.  Any reference to a subsidiary or affiliated corporation shall
mean a corporation of which the Company owns, directly or indirectly, not less
than 40 percent of each class of voting stock.

5.       GRANTS.

         (a)     The Committee may cause the Company to issue, from time to
                 time, Bonus Shares to, and enter into Bonus Share Agreements
                 with, such Key Employees as the Committee, in its sole
                 discretion, may determine.  The Committee will determine, in
                 its sole discretion, if a Key Employee is





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                 eligible to receive a bonus for a given fiscal year, and if
                 so, the amount of such bonus.  The number of Bonus Shares to
                 be issued to the Key Employee pursuant to the Plan will be
                 calculated using the closing sale price of the Company's
                 Common Stock (the "Fair Market Value") on the date on which
                 the Bonus Shares are awarded (the "Grant Date").

         (b)     The Company shall not be required to issue fractional Bonus
                 Shares.  In lieu thereof, any fractional Bonus Shares shall be
                 rounded to the next higher whole number.

6.       ADMINISTRATION OF THE PLAN.

         (a)     The Plan shall be administered by a committee to be appointed
                 by the Board of Directors of the Company (hereinafter called
                 the "Committee").  The Committee shall consist of not less
                 than three members of the Board of Directors, all of whom
                 shall be "disinterested persons".  A "disinterested person" is
                 a person who at the time he exercises discretion with respect
                 to the award of Bonus Shares is not, and for at least one year
                 prior to that time has not been, eligible to receive Bonus
                 Shares under the Plan or under other similar plans of the
                 Company.  A majority of the Committee's members will
                 constitute a quorum and all determinations of the Committee
                 will be made by a majority of its members.

         (b)     The Committee is empowered to:

                 (i)         Make all determinations regarding individuals who
                             are considered Key Employees of the Company;

                 (ii)        Make all determinations and computations
                             concerning the issuance of Bonus Shares under the
                             Plan and the number of shares to be granted to a
                             Key Employee;

                 (iii)       Cause the Company to enter into a Bonus Share
                             Agreement with each Key Employee awarded Bonus
                             Shares setting forth the terms and provisions of
                             the such grant;

                 (iv)        Make rules and regulations for the administration
                             of the Plan which are not inconsistent with the
                             terms and provisions hereof;

                 (v)         Construe and administer all terms, provisions,
                             conditions and limitations of the Plan in good
                             faith;





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                 (vi)        Make equitable adjustments for any mistakes or
                             errors in the administration of the Plan or deemed
                             by the Committee to be necessary as the result of
                             any unusual situation or any ambiguity in the
                             Plan; and

                 (vii)       Select, employ and compensate, from time to time,
                             such consultants, accountants, attorneys and other
                             agents and employees as the Committee may deem
                             necessary or advisable for the proper and
                             efficient administration of the Plan.

         (c)     The foregoing list of express powers is not intended to be
                 either complete or exclusive, and the Committee shall, in
                 addition, have such powers, whether or not expressly
                 authorized, which it may deem necessary, desirable, advisable
                 or proper for the supervision and administration of the Plan.
                 Except as otherwise specifically provided herein, the decision
                 or judgment of the Committee on any question arising hereunder
                 in connection with the exercise of any of its powers shall be
                 final, binding and conclusive upon all parties concerned
                 (including a Key Employee and any person claiming by, through
                 or under a Key Employee) and shall not be subject to review.

7.       CERTIFICATES REPRESENTING SHARES.

         Bonus Shares will be represented by a stock certificate or
certificates registered in the name of the Key Employee to whom such Bonus
Shares shall have been granted.

8.       HOLDING PERIOD.

         Any Bonus Shares granted must be held by an Officer for at least
six-months prior to sale, assignment, transfer or exchange, and any attempt to
sell, assign, transfer or exchange such shares during the six months after
grant shall be void.

9.       ADJUSTMENT IN THE EVENT OF CHANGES OF COMMON STOCK.

         In the event of a recapitalization, stock split, stock dividend,
combination or exchange of shares, merger, consolidation or liquidation or the
like, the aggregate number and class of Bonus Shares available for grant under
the Plan shall be ratably adjusted by the Committee, whose determination shall
be conclusive.

10.      NON-ALIENATION OF BENEFITS.

         No rights or benefits under the Plan or a Bonus Share Agreement shall
be subject to anticipation, alienation, sale, assignment, hypothecation,
pledge, exchange, transfer,





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encumbrance or charge, and any attempt to anticipate, alienate, sell, assign,
hypothecate, pledge, exchange, transfer, encumber or charge the same shall be
void.  No rights or benefits under the Plan or a Bonus Shares Agreement shall
in any manner be liable for or subject to the debts, contracts, liabilities or
torts of any person entitled to such right or benefit.  If any Key Employee or
beneficiary hereunder should attempt to anticipate, alienate, sell, assign,
hypothecate, pledge, exchange, transfer, encumber or charge any right or
benefit hereunder, then such right or benefit shall cease and terminate.

11.      WITHHOLDING TAXES.

         Each Key Employee granted Bonus Shares shall pay to the Company, or
the Company may deduct from other compensation payable to each Participant, the
amount of any Federal, state or local taxes of any kind required by law to be
withheld by the Company with respect thereto.  If any such amounts must be
withheld by the Company and the Key Employee elects to pay such sums directly,
written notice of that election and such sums for taxes shall be delivered to
the Company prior to delivery of such Bonus Shares.  Any such taxes owed maybe
satisfied by the Key Employee in shares of Common Stock, at the discretion of
the Committee, if the Key Employee instructs the Company in writing prior to
the issuance of a share certificate evidencing the Bonus Shares to withhold
from such shares that number of shares having a value equal to the amount
necessary to satisfy the taxes owed, or if the Key Employee delivers to the
Company that number of shares of Common Stock having a value equal to that
amount.  The number of shares of Common Stock required to satisfy such taxes
will be calculated based on the Fair Market Value of the Common Stock.

12.      AMENDMENT OR TERMINATION OF PLAN.

         The Board may at any time terminate, modify or amend the Plan as it
shall deem advisable; provided, however, that in no event may the Plan be
amended more frequently than once every six months.  Notwithstanding the
foregoing, stockholder approval shall be obtained for any action with respect
to the Plan to the extent required by applicable state or federal rules,
regulations or laws.  No termination or amendment of the Plan shall adversely
affect the rights of any Key Employee under any grant previously made.

13.      EXECUTION OF AGREEMENT.

         Each grant hereunder shall be contingent upon the execution by the Key
Employee of a Bonus Share Agreement agreeing to the terms and condition set
forth in this Plan, and any other terms and conditions required by counsel to
the Company in order to comply with applicable Federal or state securities laws
or other legal requirements.





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14.      GOVERNMENT AND OTHER REGULATIONS.

         Notwithstanding any other provisions of the Plan, the obligations of
the Company with respect to Bonus Shares shall be subject to all applicable
laws, rules and regulations, and such approvals by any governmental agencies as
may be required or deemed appropriate by the Company.  The Company reserves the
right to delay or restrict, in whole or in part, the issuance or delivery of
Common Stock pursuant to any grants of Bonus Shares under the Plan until such
time as:

         (a)     any legal requirements or regulations shall have been met
                 relating to the issuance of such Bonus Shares or to their
                 registration, qualification or exemption from registration or
                 qualification under the Securities Act of 1933 or any
                 applicable state securities law; and

         (b)     satisfactory assurances shall have been received that such
                 Bonus Shares when delivered will be duly listed on the
                 American Stock Exchange.

15.      NON-EXCLUSIVITY OF PLAN.

         The adoption of the Plan by the Board shall not be construed as
creating any limitation on the power of the Board to adopt such other incentive
arrangements as it may deem desirable, including without limitation, the
awarding of stock of the Company otherwise than under the Plan, and such
arrangements as may be either generally acceptable or applicable in specific
cases.

16.      GOVERNING LAW.

         The Plan shall be governed by, and construed in accordance with, the
laws of the State of Texas.

17.      INDEMNIFICATION OF THE COMMITTEE AND THE BOARD.

         With respect to administration of the Plan, the Company shall
indemnify each present and future member of the Committee and the Board
against, and each member of the Committee and the Board shall be entitled
without further act on his or her part to indemnity from the Company for, all
expenses (including the amount of judgments and the amount of approved
settlements made with a view to the curtailment of costs of litigation, other
than amounts paid to the Company itself) reasonably incurred by him or her in
connection with or arising out of any action, suit, or proceeding in which he
or she may be involved by reason of his or her being or having been a member of
the Committee and/or the Board, whether or not he or she continues to be such
member of the Committee and/or the Board at the time of incurring such
expenses; provided, however, that such





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indemnity shall not include any expenses incurred by any such member of the
Committee and/or the Board (i) in respect of matters as to which he or she
shall be finally adjudged in any such action, suit or proceeding to have been
guilty of gross negligence or willful misconduct in the performance of his or
her duty as such member of the Committee and/or the Board, or (ii) in respect
of any matter in which any settlement is effected to an amount in excess of the
amount approved by the Company on the advice of its legal counsel; and provided
further, that no right of indemnification under the provision set forth herein
shall be available to or enforceable by any such member of the Committee and/or
the Board unless, within 60 days after institution of any such action, suit or
proceeding, he or she shall have offered the Company, in writing, the
opportunity to handle and defend same at its own expense.  The foregoing right
of indemnification shall inure to the benefit of the heirs, executors or
administrators of each such member of the Committee and/or the Board and shall
be in addition to all other rights to which such member of the Committee and/or
the Board may be entitled as a matter of law, contract or otherwise.

18.      MISCELLANEOUS PROVISIONS.

         (a)     Except as to grants to a Key Employee, no employee or other
                 person shall have any claim or right to be granted Bonus
                 Shares under this Plan.

         (b)     The expenses of the Plan shall be borne by the Company.

         (c)     By accepting any grant under the Plan, each Key Employee and
                 each personal representative or beneficiary and each other
                 person claiming by, under or through him or her shall be
                 conclusively deemed to have indicated his or her acceptance
                 and ratification of, and consent to, any action taken under
                 the Plan by the Company, the Board or the Committee.

19.      EFFECT OF AMENDMENTS.

         This Executive Incentive Stock Bonus Plan, as amended through March
20, 1996, constitutes a complete amendment and restatement of such Plan.  Any
Bonus Share Grant granted under the Plan shall be subject to the terms of the
Plan as in effect at the time the Bonus Share Grant is granted; provided,
however, that by agreement between the Committee and the Key Employee, any such
Bonus Share Grant may be amended to incorporate and become subject to the
provisions of the Plan as amended through a date which is subsequent to the
date on which the Bonus Share Grant was granted.

20.      EFFECTIVE DATE OF PLAN.

         The Plan shall become effective and shall be deemed to have been
adopted on May 15, 1992.  The duration of the Plan is to be perpetual.





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