When a request or problem is described, this phrase is used to tell the person that what they need or are requesting is simply not possible/available and probably won't be in the near future. An "urban" variation of "out of luck".
emo girl: I love your overalls !! can we be friends ??
super martio: Sorry emo girl, you're shit-out-of-luck.
Im 80% cautious ,20% conceited. so just Send me a message and tell me who you are or why you think we'd make great myspace friends, chances are if I know you or I think your interesting we can be homies.