KONSTANTINOVA S. 306 Trakia Journal of Sciences, Vol. 13, Suppl. 1, 2015 Trakia Journal of Sciences, Vol. 13, Suppl. 1, pp 306-311, 2015 Copyright © 2015 Trakia University Available online at: http://www.uni-sz.bg ISSN 1313-7069 (print) doi:10.15547/tjs.2015.s.01.051 ISSN 1313-3551 (online) ANALYSIS AND MODELING OF INDUSTRIAL COMPANIES CASH FLOWS UNDER CRISIS CONDITIONS S. Konstantinova* Faculty of Economics, University of Food Technologies  Plovdiv, Bulgaria ABSTRACT For the purpose of an analysis and modeling of cash flows under uncertainty conditions was formed a sample of 16 public industrial companies that are representatives of three groups: group I – companies from SOFIX – main index of Bulgarian Stock Exchange – Sofia AD; group II – companies from BGBX 40; group III – companies that do not participate in the calculation of either of the two indices, but that accumulated considerable investor interest. The study addresses three main types of cash flows: cash flows of business operations; investment operations, and financial operations. Based on the analysis were established levels and trends were revealed. This provides opportunity to draw models and make suggestions to improve the cash flows management. Key words: cash flows, industry, crisis, analysis, model INTRODUCTION A sample of 16 industrial companies (1) has been formed for analysis and modeling of cash flows before and after the global financial and economic crisis (2007–2008). They are representatives of the following groups: First group: companies whose shares participate in the calculation of the main index SOFIX of Bulgarian Stock Exchange – Sofia AD: Sopharma AD, Neochim AD, Monbat AD, M+S Hydraulic AD and Albena AD. Second group: companies that participate in the broad index BGBX 40: Fazerles AD, Yuri Gagarin AD, Biovet AD, Trace Group Hold AD and Sparky Eltos AD. Third group – companies that do not participate in the calculation of either of the two indices, but that accumulated considerable investor interest: Alkomet AD, Asenova Krepost AD, Elhim Iskra AD, Zaharni Zavodi AD and Svilosa AD. For the exploration of the investment activity was used information from the third major document contained in the annual financial statements of the companies called Statement of cash flows under the direct method (2, 3, 4), for the relatively lengthy period 2007–2013. __________________________  Correspondence to: Assoc. Prof. Snezhinka Konstantinova Stoyanova, PhD, Faculty of Economics, University of Food Technologies  Plovdiv, Bulgaria, 4002 Plovdiv, P.B. 27, Bulgaria, Cell Phone: +359 878384372, E-mail: sks_ko@abv.bg The information about the cash flows of an enterprise is useful in that it provides a basis for assessment of the ability of the enterprise to generate cash and cash equivalents and the needs of the enterprise to utilize those cash flows. The economic decisions that are made by users require an evaluation of the ability of the enterprise to generate cash and cash equivalents, their timing and the security of their generation. The purpose of the standards is to require the provision of information about the historical changes in cash and cash equivalents of an enterprise by means of a cash flow statement, in which they are categorized in the reporting period from operating, investment and financial activities. The users of financial statements of the enterprise are interested in how the enterprise generates and uses cash and cash equivalents, regardless of the nature of the activity of the enterprise and irrespective of whether cash can be viewed as the product of the enterprise, as may be the case in the financial institutions. The enterprises need cash for reasons that are essentially the same, however different their principal activities that generate revenue. They need cash to conduct their operations, to pay their liabilities and to provide returns to their investors. METHODS AND TERMS The cash flow statement presents cash flows during the reporting period classified by operating, investment and financial activities,