| The objective of this research is to analyze the earning model and cash flow operation model to predict financial distress condition in banking company. Independent variable of this research are product market company, institutional factor, operational, liquidity, revenue and expense, profitability, activity and investment, andcoverage. Dependent variable of this research are earning model and cash flow operation. The sample of this study is banking companies which listed on Indonesia Stock Exchange period 2003-2012. Data in 2012 is used to examine the success of model to predict financial distress, so data in 2012 didn’t included in data processing. The method of analysis used in this research is logistic regression analysis.This research reveals that earning model has significance to predict financial distress, while cash flow operation model not. Finally, this research show that earning model better than cash flow model in predicting financial distress. |