The budget airline said Monday that it has entered a restructuring agreement with its bondholders to deleverage its balance sheet.

Spirit said in a filing announcing bankruptcy protection that it would continue all its normal operations, and that customer tickets remain vaild.

(Reuters) -Spirit Airlines has filed for bankruptcy protection after the pioneer of no-frills travel in the U.S. struggled with a long run of quarterly losses and significant debt, it disclosed on Monday.

Spirit Airlines (SAVE) files for bankruptcy protection with plans for debt restructuring and equity investment.

In a shocking turn of events, Spirit Airlines is reportedly preparing to file for Chapter 11 bankruptcy protection. This news comes on the heels

Spirit Airlines’ shares plunged more than 50% in early trading Wednesday, following a report that it is preparing to file bankruptcy — and the company’s announcement that it won’t report quarterly financial results because it’s scrambling to reach a deal with creditors.

Spirit Airlines' stock plunged 59% on Wednesday as the budget airline worked with creditors to restructure debt amid reports the company could file for bankruptcy protection within the next few weeks.

Spirit Airlines is reportedly considering bankruptcy protection. That could mean flying fewer routes, allowing competitors to raise prices.

Spirit Airlines filed for bankruptcy protection Monday, as mounting losses, unaffordable debt, increased competition for bargain-seeking airline passengers and the inability to merge with other airlines left it little choice.

Just like airplanes take off and land, shares of Spirit Airlines (NYSE: SAVE) have taken shareholders on a ride. Only in this instance, there has been ridiculous amounts of turbulence on the journey.

Spirit Airlines is likely to file for bankruptcy due to a failed merger with Frontier Airlines, making SAVE shares a Sell. Click here to read why.