To fail badly at something, while suggesting there was an element of unluckiness or inevitability working against you or the subject of said failure.
A slightly slicker way of saying 'epic fail' or 'botched' and a quicker way of saying 'crashed and burned' while lacking the culpability of 'screwed up'.
a: How'd it go with what's-her-name last night?
b: Ah, I bombed out, but no worries, I hooked up with your sister.
a: Oh... Wait, what?
X: How's the derivatives business going? Still trading CDS and sub-prime mortgages?
Y: Nah, market bombed out, wasn't my fault.
X: Yes it was you sack of shit!
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