The Miramar, Florida-based discount airline is expected to file for bankruptcy protection from its debts in as little as 10 days or within weeks, sources familiar with the matter confirmed to CBS News. The Wall Street Journal first reported the looming bankruptcy filing.

The largest U.S. budget airline, Spirit Airlines, is allegedly contemplating bankruptcy. The Wall Street Journal reports that this development comes on the heels of failed merger talks with Frontier Airlines,

In the clearest sign yet that bankruptcy is on the itinerary, Spirit Airlines warned early Wednesday that it is preparing for a "statutory restructuring" if it successfully renegotiates terms with its bondholders.