Disk Repair Help

I have a 2011 or 2012 MBA running OSX Lion.

I was running MS Word and working with a 40 meg docx file and the file crashed because the disk encountered an error. I decided to run diskutility to repair the error and it forced me into recovery mode to do the repairs. In recovery mode, it tells me that the error cannot be repaired and to "back up as many files as possible and reinstall OSX". Now I can't even boot back into OSX to backup my files. Help!!!!!!

Update:

I've reset the NVRAM/PRAM and still nothing. Can't even do a safe boot into the computer. It just won't load into OSX to allow me to do a backup. It loads up the apple icon, spinning wheel thingy, shuts down. Panicking since I haven't back up the system in 1.5 weeks.

I can get into recovery mode but disk utility still is not solving the problem.

I can't believe the ssd drive died already. There wasn't even any signs of failure coming up and the drive isn't even old by ssd standards! Wtf!

Alright. I'll give it a shot and have my fingers crossed. I'll post how it all goes.

Update:

trying to install OSX Lion didn't work and I didn't even get into the verificatin stage. Both the HD recovery and the main partition are both locked! I was about to partition the main into 2 sectors but figured I'd ask for help first.

HELP!