Delta Air Slide Now at 15

Delta Air Lines' (DAL Quote) stock fell for the 15th consecutive session as the price of oil continues to spike amid fear the company is a mortal lock to file for Chapter 11 bankruptcy protection.

With a net loss of $2 billion in the second quarter and management scrambling to get $1 billion in wage concessions from pilots, time is running out for the nation's fourth-largest carrier -- and with the price of oil passing $45 a barrel on Thursday, the pressure is growing. The concerns first reached a fever pitch earlier in the week, on Monday, when Delta revealed that it was burning through cash to cover its operating costs in a quarterly filing with the Securities and Exchange Commission.

"Delta's recent 10-Q implied its unrestricted cash balance could dip to as low as $1.3 billion by year-end, a level we consider about $300 million to $400 million below its 'magic number' -- the point at which bankruptcy appears increasingly unavoidable," said Jamie Baker, airline analyst at J.P. Morgan, in a research note. (J.P. Morgan does and seeks to do business with the companies covered in its research reports.)

On Thursday, Delta shares fell another 15 cents, or 4.1%, to $3.55. Over the last 15 days, the company's shares have lost 40% of their value and now sit at a level unseen in more than 25 years.

To avert a Chapter 11 filing, Delta will need to cut costs -- and fast. In July, pilots put a $700 million offer on the table, and discussions over pay cuts likely will heat up at the end of the month, after Delta management unveils its top-to-bottom restructuring plan to save the airline, sometime next week.

"We are intensively engaged in an effort to identify and obtain cost reductions from our key stakeholders and to implement new strategic business initiatives in order to effect a successful out-of-court restructuring, but there can be no assurance this effort will succeed," the company said.

The news is the latest sign of trouble for Delta. Fitch Ratings downgraded the company's debt last Thursday, and Moody's Investors Service on Tuesday lowered its rating on the carrier's unsecured debt another notch. Two brokerage firms have downgraded Delta's shares since July 20 -- and now six analysts rate it sell, three rate it hold and only four think it's worth buying.