Shares of Spirit Airlines (NYSE: SAVE) are crashing in premarket trading as of the time of this writing. The stock is down nearly 40% to just $1.36 per share. Yesterday, SAVE shares closed down 3.45% to $2.24.

The main reason for Spirit’s stock crash seems to be linked to a report from The Wall Street Journal yesterday that says the beleaguered airline is discussing a potential bankruptcy filing. Here’s what you need to know.

What’s happened?

Yesterday, the WSJ reported that Spirit Airlines was in discussions with bondholders for a potential bankruptcy filing. As a result of that report, Spirit Airlines shares crashed in premarket trading this morning. 

SAVE shares are currently trading down nearly 40% before the opening bell,…