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                        FY2001 NEBS EXECUTIVE BONUS PLAN
                         (EFFECTIVE AS OF JUNE 26, 2000)

     This Executive Bonus Plan (the "Plan") was adopted by the Board of
Directors of New England Business Service, Inc. (the "Company") on July 28, 2000
upon the recommendation of its Organization and Compensation Committee for the
purpose of providing incentive compensation for the senior executives and
managers of the Company and its subsidiaries.  This Plan shall be governed by
the following definitions and calculations.

I.       Participants.  The participants in the Plan for the 2001 fiscal year of
         -------------
         the Company (the "Year") and their respective target bonus percentages
         shall be as follows:

         A.   Officers of the Company.
              -----------------------

         Chairman, President & Chief Executive Officer                    70%

         Senior Vice President and President, Diversified Operations      60%

         Senior Vice President and President, NEBS Direct Marketing       60%

         Senior Vice President and President, Chiswick Trading            60%

         Senior Vice President and President, RapidForms                  60%

         Senior Vice President and President, Premium Wear                60%

         Senior Vice President, Information Systems                       60%

         Senior Vice President, Chief Financial Officer                   60%

         Senior Vice President, Human Resources                           60%

         Senior Vice President, Manufacturing and Technical Operations    60%

         Senior Vice President, Business Management and Development       60%

         Senior Vice President, Corporate Channel Marketing               60%

         Vice President and President, McBee                              60%

         Vice President, Investor Relations                               50%

         Vice President, Controller                                       50%

         Vice President, General Counsel and Secretary                    50%
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         B.    CEOs of Subsidiaries.
               ---------------------

         Managing Director, NEBS Business Stationery                      40%

         President and Chief Executive, NEBS Business Forms, Ltd.         40%

II.      Target Bonus.  The target bonus payable to a participant with respect
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         to the Year shall be an amount arrived at by multiplying his base
         salary at the end of the Year by his target bonus percentage.

III.     Actual Bonus.  The actual bonus of each participant shall be calculated
         -------------
         based on actual results vs. targeted objectives. No bonus shall be paid
         if the Company's consolidated net income for the Year is less than 90%
         of the targeted net income objective.

         A.    Chairman, President & Chief Executive Officer.
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               The actual bonus of this participant shall be the sum of the
         following:

               (a)  Each 1% by which consolidated net sales are more than 95% up
                    to 105% of the targeted consolidated net sales for the Year
                    equals 5.6% of his base salary, plus each 1% by which
                    consolidated net sales are more than 105% of the targeted
                    consolidated net sales for the Year equals 2.8% of his base
                    salary; and

               (b)  Each 1% by which consolidated net income is more than 95% up
                    to 105% of the targeted consolidated net income for the Year
                    equals 5.6% of his base salary, plus each 1% which
                    consolidated net income is more than 105% of the targeted
                    consolidated net income for the Year equals 2.8% of his base
                    salary; and

               (c)  Up to 14% of his base salary based on his attainment of
                    certain personal objectives established by the Organization
                    and Compensation Committee, as determined by the latter.

         B.    Senior Vice President, Chief Financial Officer; Senior Vice
               President, Human Resources; Senior Vice President, Information
               Systems; Senior Vice President, Manufacturing and Technical
               Operations; Senior Vice President, Corporate Channel Marketing.
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               The actual bonus of these participants shall be the sum of the
        following:

               (a)  Each 1% by which consolidated net sales are more than 95% up
                    to 105% of the targeted consolidated net sales for the Year
                    equals 4.8% of his base salary, plus each 1% by which
                    consolidated net sales are more than 105% of the targeted
                    consolidated net sales for the Year equals 2.4% of his base
                    salary; and

               (b)  Each 1% by which consolidated net income is more than 95% up
                    to 105% of the targeted consolidated net income for the Year
                    equals 4.8% of his base salary, plus each 1% by which
                    consolidated net income is more than 105% of the targeted
                    consolidated net income for the Year equals 2.4% of his base
                    salary; and

               (c)  Up to 12% of his base salary based on the degree of his
                    attainment of certain personal objectives established by the
                    Chairman, President & Chief Executive Officer, as determined
                    by the latter.

         C.    Senior Vice President, Business Management and Development.

               The actual bonus of this Participant shall be the sum of the
         following:

               (a)  Each 1% by which NEBS Canada net sales are more than 95% up
                    to 105% of the targeted channel net sales for the Year
                    equals 1.8% of his base salary, plus each 1% by which
                    channel net sales are more than 105% of the targeted channel
                    net sales for the Year equals 0.9% of his base salary; and

               (b)  Each 1% by which consolidated net income is more than 95% up
                    to 105% of the targeted consolidated net income for the Year
                    equals 3% of his base salary, plus each 1% by which
                    consolidated net income is more than 105% of the targeted
                    consolidated net income for the Year equals 1.5% of his base
                    salary; and

               (c)  Each 1% by which NEBS Canada profit from operations is more
                    than 95% up to 105% of the targeted channel profit from
                    operation for the Year equals 1.8% of his base salary.
                    Payment for the attainment of channel profit from operations
                    will be capped at 200% of target payment (105%) achievement;
                    and

               (d)  Each 1% by which NEBS Europe net sales are more than 95% up
                    to 105% of the targeted channel net sales for the Year
                    equals 1.2% of his base salary, plus each 1% by which
                    channel net sales are more
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                    than 105% of the targeted channel net sales for the Year
                    equals 0.6% of his base salary; and


               (e)  Each 1% by which NEBS Europe profit from operations is more
                    than 95% up to 105% of the targeted channel profit form
                    operation for the Year equals 1.8% of his base salary.
                    Payment for the attainment of channel profit from operations
                    will be capped at 200% of target payment (105%) achievement;
                    and

               (f)  Up to 12% of his base salary based on his attainment of
                    certain personal objectives established by the Chairman,
                    President & Chief Executive Officer, as determined by the
                    latter.

         D.    Senior Vice President and President, Diversified Operations;
               Senior Vice President and President, Chiswick Trading; Vice
               President and President, McBee.

               The actual bonus of this participant shall be the sum of the
         following:

               (a)  Each 1% by which consolidated net income is more than 95% up
                    to 105% of the targeted consolidated net income for the Year
                    equals 3% of his base salary, plus each 1% by which
                    consolidated net income is more than 105% of the targeted
                    consolidated net income for the year equals 1.5% of his base
                    salary; and

               (b)  Each 1% by which channel net sales are more than 95% up to
                    105% of the targeted channel net sales for the Year equals
                    3% of his base salary, plus each 1% by which channel net
                    sales are more than 105% of the targeted channel net sales
                    for the Year equals 1.5% of his base salary; and

               (d)  Each 1% by which channel profit from operations is more than
                    95% up to 105% of the targeted channel profit from
                    operations for the Year equals 3.6% of his base salary.
                    Payment for the attainment of channel profit from operations
                    will be capped at 200% of target payment (105%); and

               (e)  Up to 12% of his base salary based on the degree of his
                    attainment of certain personal objectives established by the
                    Chairman, President & Chief Executive Officer, as determined
                    by the latter.
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         E.    Senior Vice President and President, NEBS Direct Marketing

               The actual bonus of this participant shall be the sum of the
         following:

               (a)  Each 1% by which consolidated net income is more than 95%
                    up to 105% of the targeted consolidated net income for the
                    Year equals 3% of his base salary, plus each 1% by which
                    consolidated net income is more than 105% of the targeted
                    consolidated net income for the Year equals 1.5% of his base
                    salary; and

               (b)  Each 1% by which channel net sales are more than 95% up to
                    105% of the targeted channel net sales for the Year equals
                    3.6% of his base salary, plus each 1% by which channel net
                    sales are more than 105% of the targeted channel net sales
                    for the Year equals 1.8% of his base salary; and

               (c)  Each 1% by which channel profit form operations is more than
                    95% up to 105% of the targeted channel profit from
                    operations for the Year equals 3% of his base salary.
                    Payment for the attainment of channel profit from operations
                    will be capped at 200% of target payment (105%) achievement;
                    and

               (d)  Up to 12% of his base salary based on the degree of his
                    attainment of certain personal objectives established by the
                    Chairman, President and Chief Executive Officer, as
                    determined by the latter.

         F.    Vice President and President, RapidForms.

               The actual bonus of this participant shall be the sum of the
         following:

               (a)  Each 1% by which consolidated net income is more than 95% up
                    to 105% of the targeted consolidated net income for the Year
                    equals 3% of his base salary, plus each 1% by which
                    consolidated net income is more than 105% of the targeted
                    consolidated net income for the Year equals 1.5% of his base
                    salary; and

               (b)  Each 1% by which combined RapidForms and McBee Systems
                    profit from operations is more than 95% up to 105% of the
                    targeted profit from operations for the Year equals 3% of
                    his base salary. Payment for the attainment of profit from
                    operations will be capped at 200% of target payment (105%)
                    achievement; and


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               (c)  Each 1% by which combined RapidForms and McBee Systems net
                    sales are more than 95% up to 105% of the targeted net sales
                    for the Year equals 3.6% of this base salary, plus each 1%
                    by which combined RapidForms and McBee Systems net sales is
                    more than 105% of the targeted net sales for the Year equals
                    1.8% of his base salary; and

               (d)  Up to 12.0% of his base salary based on the degree of
                    attainment of certain personal objectives established by the
                    Chairman, President & Chief Executive Officer, as determined
                    by the latter.

         G.    Senior Vice President and President PremiumWear.

               The actual bonus of this participant shall be the sum of the
         following:

               (a)  Each 1% by which consolidated net income is more than 95% up
                    to 105% of the targeted consolidated net income for the Year
                    equals 3.6% of his base salary, plus each 1% by which
                    consolidated net income is more than 105% of the targeted
                    consolidated net income for the Year equals 1.8% of his base
                    salary; and

               (b)  At target, 21% of his base salary will be earned for the
                    achievement of PremiumWear net sales with payment commencing
                    when a specified threshold level of achievement is attained,
                    at which point a payout equivalent to a specified minimum
                    percentage of the participant's annual base salary, times
                    the weighting will be earned. Above the threshold level of
                    achievement, the percentage of payout will increase on a
                    linear basis until a specified midpoint level of achievement
                    is attained, at which point a payout equivalent to a
                    specified midpoint percentage of the participant's annual
                    base salary, times the weighting, will be earned. Above the
                    midpoint level of achievement, the percentage of payout will
                    increase on a linear basis until a specified target level of
                    achievement is attained, at which point a payout equivalent
                    to a specified target percentage of the participant's annual
                    base salary, times the weighting, will be earned. Above the
                    specified target level of achievement, the percentage of
                    payout will increase on a linear basis until a specified
                    maximum level of achievement is attained, at which point a
                    payout equivalent to a specified maximum level of
                    achievement is attained, at which point a payout equivalent
                    to a specified maximum percentage of the participant's
                    annual base salary, times the weighting, will be earned.
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               (c)  At target, 21% of his base salary will be earned for the
                    achievement of PremiumWear operating income with payment
                    commencing when a specified threshold level of achievement
                    is attained, at which point a payout equivalent to a
                    specified minimum percentage of the participant's annual
                    base salary, times the weighting will be earned. Above the
                    threshold level of achievement, the percentage of payout
                    will increase on a linear basis until a specified midpoint
                    level of achievement is attained, at which point a payout
                    equivalent to a specified midpoint percentage of the
                    participant's annual base salary, times the weighting, will
                    be earned. Above the midpoint level of achievement, the
                    percentage of payout will increase on a linear basis until a
                    specified target level of achievement is attained, at which
                    point a payout equivalent to a specified target percentage
                    of the participant's annual base salary, times the
                    weighting, will be earned. Above the specified target level
                    of achievement, the percentage of payout will increase on a
                    linear basis until a specified maximum level of achievement
                    is attained, at which point a payout equivalent to a
                    specified maximum percentage of the participant's annual
                    base salary, times the weighting, will be earned.

         H.    Vice President, Investor Relations; Vice President, Controller;
               Vice President, General Counsel and Secretary.

               The actual bonus of these participants shall be the sum of the
         following:

               (a)  Each 1% by which consolidated net sales are more than 95% up
                    to 105% of the targeted consolidated net sales for the Year
                    equals 4% of his base salary, plus each 1% by which
                    consolidated net sales are more than 105% of the targeted
                    consolidated net sales for the Year equals 2.0% of his base
                    salary; and

               (b)  Each 1% by which consolidated net income is more than 95% up
                    to 105% of the targeted consolidated net income for the Year
                    equals 4% of his base salary, plus each 1% by which
                    consolidated net income is more than 105% of the targeted
                    consolidated net income for the Year equals 2.0% of his base
                    salary; and

               (c)  Up to 10% of his base salary based on the degree of his
                    attainment of certain personal objectives established by the
                    Chairman, President & Chief Executive Officer, as determined
                    by the latter.
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         I.    Chief Executive Officers of Subsidiaries.

               The actual bonus of these participants shall be the sum of the
         following:

               (a)  Each 1% by which consolidated net income is more than 95% up
                    to 105% of the targeted consolidated net income for the Year
                    equals 2% of his base salary, plus each 1% by which
                    consolidated net income is more than 105% of the targeted
                    consolidated net income for the Year equals 1.0% of his base
                    salary; and

               (b)  Each 1% by which subsidiary net sales are more than 95% up
                    to 105% of the targeted subsidiary net sales for the Year
                    equals 3.2 % of his base salary, plus each 1% by which
                    subsidiary net sales are more than 105% of the targeted
                    subsidiary net sales for the Year equals 1.6% of his base
                    salary; and

               (c)  Each 1% by which subsidiary profit from operations is more
                    than 95% up to 105% of the targeted subsidiary profit from
                    operations for the Year equals 1.2% of his base salary.
                    Payment for the attainment of channel profit from operations
                    will be capped at 200% of target payment (105% achievement);
                    and

               (d)  Up to 8% of his base salary based on the degree of his
                    attainment of certain personal objectives established by the
                    Chairman, President & Chief Executive Officer, as determined
                    by the latter.

     IV.  Bonus Payments
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          A.    For participants with 60% or 70% bonus targets: 75% of the gross
                payment will be in the form of cash; 25% of the gross payment
                will be in the form of NEBS Stock with a share price which is
                established at the close of trading on the New York Stock
                Exchange on the third business day following the issuance of the
                press release disclosing the Company's financial results for the
                fourth fiscal quarter of the Year. Cash payment will be made
                within 60 days after the close of the Year. Stock awarded under
                the plan will be in the form of Restricted Stock with terms and
                conditions detailed in the form of a Restricted Stock Agreement
                attached hereto.

          B.    For participants with 40% or 50% bonus targets: 75% of the net
                payment will be in the form of cash; 25% of the net payment will
                be in the form of NEBS Stock with a share price which is
                established at the close of trading on the New York Stock
                Exchange on the third business day following the issuance of the
                press release disclosing the Company's financial results for the
                fourth fiscal quarter of the Year. All bonus payments will be
                made within 60 days after the close of the Year.
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          C.    At their option and with the authorization of the Chief
                Executive Officer, participants, other than the Chief Executive
                Officer and the four next most highly compensated executive
                officers, may receive their bonus entirely in cash if the
                payment earned is less than 25% of annualized base salary.

     V.   Certain Definitions and Other Provisions.
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          A.    All references to "net" sales shall refer to consolidated net
                sales of the Company or net sales of a distribution channel or a
                business unit, as the case may be, as reported or used in
                calculating the Company's audited consolidated earnings.

          B.    For purposes of calculating the actual bonuses, consolidated net
                income for the Year shall mean such consolidated income, after
                taxes and after provision for executive bonuses under this plan,
                determined in accordance with all of the accounting policies
                employed in the preparation of the Company's audited financial
                statements for the Year.

          C.    Actual or targeted consolidated net income; actual or targeted
                consolidated sales; actual or targeted profit from operations of
                any business unit or distribution channel; or actual or targeted
                net sales of any business unit or distribution channel may, at
                the discretion of the Organization and Compensation Committee,
                be adjusted to eliminate the effect of (a) either the
                acquisition or the divestiture by the Company of any subsidiary
                or division during the Year, and/or (b) the imposition during
                the Year by Massachusetts or any other state or states of sales
                taxes on services, materials or supplies purchased by the
                Company or any subsidiary of the Company the effect of which is
                not allowed for in the Company's annual budget for the 2001
                fiscal year or (c) any abatement of taxes or material increase
                or decrease in Federal or State corporate tax rates. It is the
                intention of the Organization and Compensation Committee that
                any such discretionary adjustment shall be made by it, and shall
                be announced to the affected participants, promptly after the
                occurrence of the motivating event, but failure to act promptly
                shall not deprive the Committee of its power to make such an
                adjustment at a later date.

          D.    Should a participant die, retire, or become totally disabled
                during the Year, he or his estate shall be entitled to receive a
                bonus prorated in accordance with the percentage of his annual
                salary earned from the beginning of the Year up to the date of
                death, retirement or disability. Should a participant's
                employment by the Company or a subsidiary business unit be
                terminated for any other reason, payment of any bonus hereunder
                for the Year in which such termination occurs is at the sole
                discretion of the Organization and Compensation Committee.
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          E.    If a participant assumes a new position during the Year, the
                Organization and Compensation Committee may make an appropriate
                adjustment in his target bonus and/or the means of calculating
                his actual bonus, effective from and after that event.

          F.    If a Change of Control event (as defined in Section 11 of the
                Company's 1997 Key Employee and Eligible Director Stock Option
                and Stock Appreciation Rights Plan) occurs, the Company will
                within sixty (60) days following such event pay each participant
                a prorated bonus through the date thereof as hereinafter
                provided, whereupon this Plan will terminate. The portion of the
                bonus based on factors other than personal objectives shall be
                calculated based on a comparison of (i) actual results of the
                Company through the end of the calendar quarter next preceding
                the Change in Control event to (ii) the targeted quarterly
                performance criteria set forth on the schedules attached hereto.
                The portion of the bonus based on personal objectives will be
                calculated through the end of the calendar quarter next
                preceding the Change of Control event to the extent equitable
                and reasonably practicable in the judgment of the Organization
                and Compensation Committee. Qualitative measurements for which
                such calculation is not equitable or reasonably practicable will
                be disregarded and the percentage of the bonus otherwise
                allocated thereto under the terms hereof will be reallocated in
                even percentages to the sales and earnings components of the
                bonus calculation. After determining the full year bonus based
                on the extent to which the aforesaid quarterly targets have been
                achieved, the amount of the full year bonus will be prorated by
                multiplying the same by a fraction the numerator of which is the
                number of days between the beginning of the fiscal year and the
                date of the Change of Control event and the denominator of which
                would be 365. The determination of the amount of any bonus
                payable under this paragraph to the Chairman, President & Chief
                Executive Officer shall be made by the Organization and
                Compensation Committee and for all other participants the
                determination of the amount of any bonus payable shall be made
                by the Chairman, President & Chief Executive Officer and in each
                instance the determination shall be final and binding on the
                Company and all participants.

          G.    In the event of any material, unusual and non-recurring charge
                to income, purchase or sale of any material business unit by the
                Company, or other material event affecting the ability of the
                participants to achieve the performance targets established
                under this Plan, the Organization and Compensation Committee
                shall review such performance targets and make such adjustments
                with respect thereto as it deems reasonable and equitable in
                light of the purposes of this Plan. Any and all adjustments made
                by the Organization and Compensation Committee under this
                paragraph shall be final and binding on the Company and all
                participants.
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          H.    The Organization and Compensation Committee may in its
                discretion terminate the Plan as of the end of any fiscal
                quarter. If the Plan is so terminated, the Company shall pay out
                bonuses to the participants in such amounts as are appropriate
                and equitable in light of the Company's and participants'
                performance through the end of such quarter and the targets
                established hereunder. The determination of the amount of any
                bonuses payable under this paragraph shall be made by the
                Organization and Compensation Committee in line with the
                objectives set for each participant, and its determination shall
                be final and binding on the Company and all participants.

          I.    The personal objectives referred to herein and the application
                of certain provisions hereof are described in the FY01 Scorecard
                prepared by the Senior Vice President, Human Resources.

          J.    This Plan shall be effective commencing June 26, 2000.