| UNITED      STATESSECURITIES      AND EXCHANGE COMMISSION                                                                                                                                                                                                                                                                                                                                                                                                   |                                                                                        |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|---------------------------------------------------------------------------------------------|
|                                                                                                                                                                                                                                                                                                                                                                                                                                                        | Washington,      DC  20549                                                        |   |   |
|  FORM      40-F                                                                                                                                                                                                                                                                                                                                                                                                                                        |                                                                                        |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                        | (Check      One)                                                                            |   |   |
| [  ]  REGISTRATION      STATEMENT PURSUANT TO SECTION 12 OF THESECURITIES      EXCHANGE ACT OF 1934                                                                                                                                                                                                                                                                                                                                     |                                                                                        |
| or                                                                                                                                                                                                                                                                                                                                                                                                                                                          |                                                                                        |
| [X]  ANNUAL      REPORT PURSUANT TO SECTION 13(a) OR 15(d) OF THESECURITIES      EXCHANGE ACT OF 1934                                                                                                                                                                                                                                                                                                                                             |                                                                                        |
|  For      the fiscal year ended December 31, 2007                                                                                                                                                                                                                                                                                                                                                                                                      |                                                                                        |  Commission      File Number 0-51034 |   |
|  ACE      AVIATION HOLDINGS INC.(Exact      Name of Registrant as Specified in Its Charter)Not      Applicable(Translation      of Registrant's Name Into English (if Applicable))                                                                                                                                                                                                                                                                     |                                                                                        |
|  Canada(Province      or other Jurisdictionof      Incorporation or Organization)                                                                                                                                                                                                                                                                                                                                                                      |  4512(Primary      Standard IndustrialClassification      Code Number (if Applicable)) |  Not      Applicable(I.R.S.      Employer IdentificationNumber      (if Applicable)) |   |
|  5100 de Maisonneuve Boulevard      WestMontreal, Québec,Canada, H4A3T2(514)      422-5000(Address      and telephone number of Registrant's principal executive      offices)                                                                                                                                                                                                                                                                    |                                                                                        |
|  CT      Corporation System111      Eighth AvenueNew      York, New York 10011(212)      894-8940(Name,      address (including zip code) and telephone number(including      area code) of agent for service in the United States)                                                                                                                                                                                                                    |                                                                                        |
|  Securities      registered or to be registered pursuant to Section 12(b) of the      Act.NoneSecurities      registered or to be registered pursuant to Section 12(g) of the      Act.Class      A Variable Voting SharesClass      B Voting SharesSecurities      for which there is a reporting obligation pursuant to Section 15(d) of the      Act.NoneFor      annual reports, indicate by check mark the information filed with this      Form: |                                                                                        |
| [X]  Annual      information form                                                                                                                                                                                                                                                                                                                                                                                                            | [X]  Audited annual      financial statements                                |   |
| Indicate      the number of outstanding shares of each of the issuer's classes of      capital or common stock as of the close of the period covered by the      annual report.                                                                                                                                                                                                                                                                        |                                                                                        |
| The      Registrant had 82,228,958 Class A Variable Voting Shares, 23,708,964 Class      B Voting Sharesand      12,500,000 Preferred Shares outstanding as at December 31,      2007                                                                                                                                                                                                                                                                  |                                                                                        |
| Indicate      by check mark whether the Registrant by filing the information contained      in this form is also thereby furnishing the information to the Commission      pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934 (the      "Exchange Act").  If "Yes" is marked, indicate the file number      assigned to the Registrant in connection with such Rule.                                                            |                                                                                        |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                        | Yes                                                                                         |   |   | 82-______ |   | No | X |   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                        |                                                                                        |
| Indicate      by check mark whether the Registrant (1) has filed all reports required to      be filed by Section 13 or 15(d) of the Exchange Act during the preceding      12 months (or for such shorter period that the Registrant was required to      file such reports) and (2) has been subject to such filing requirements      for the past 90 days.                                                                                               |                                                                                        |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                        | Yes                                                                                         | X |   |   | No |   |   |   |

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| A.   | Disclosure      Controls and Procedures |
|----------------|-----------------------------------------|

| B.   | Management's      Annual Report on Internal Control Over Financial  Reporting |
|----------------|-------------------------------------------------------------------------------|

| C.   | Attestation      Report of the Registered Public AccountingFirm |
|----------------|-----------------------------------------------------------------|

| D.   | Changes      in Internal Control Over FinancialReporting |
|----------------|----------------------------------------------------------|

| E.   | Notice      of  Pension Fund BlackoutPeriod |
|----------------|-------------------------------------------------------|

| F.   | Audit      Committee Financial Expert |
|----------------|---------------------------------------|

| G.   | Code      of Ethics |
|----------------|---------------------|

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| H.   | Principal      Accountant Fees and Services |
|----------------|---------------------------------------------|

| I.   | Off-Balance      Sheet Arrangements |
|----------------|-------------------------------------|

| J.   | Tabular Disclosure of Contractual      Obligations |
|----------------|----------------------------------------------------|

| K.   | Identification      of Audit Committee |
|----------------|----------------------------------------|

| L.   | Critical      Accounting Policies |
|----------------|-----------------------------------|

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| A.   | Undertaking |
|----------------|-------------|

| B.   | Consent      to Service of Process |
|----------------|------------------------------------|

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| ExhibitNumber | Title                                                                                                                                                                                                                                                                                            |
|---------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|          |                                                                                                                                                                                                                                                                                             |
| 1.1           | Annual      Information Form for the fiscal year ended December 31,    2007                                                                                                                                                                                                                      |
| 1.2           | Audited      Consolidated Financial Statements for the fiscal year ended December 31,      2007, prepared in accordance with Canadian generally accepted accounting      principles and reconciled to U.S. generally accepted accounting principles      in accordance with Item 18 of Form 20-F |
| 1.3           | Management's      Discussion and Analysis of Results of Operations and Financial Condition      for the fiscal year ended December 31, 2007                                                                                                                                                      |
| 23.1          | Consent      of PricewaterhouseCoopers LLP                                                                                                                                                                                                                                                       |
| 31.1          | Certification      of CEO pursuant to Section 302 of the Sarbanes-Oxley Act of      2002                                                                                                                                                                                                         |
| 31.2          | Certification      of CFO pursuant to Section 302 of the Sarbanes-Oxley Act of      2002                                                                                                                                                                                                         |
| 32.1          | Certification      of CEO and CFO pursuant to Section 906 of the Sarbanes-Oxley Act of      2002                                                                                                                                                                                                 |

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| March      31, 2008 | By:    | /s/      Brian Dunne                                          |
|---------------------|--------|---------------------------------------------------------------|
|                | Name:  | Brian      Dunne                                              |
|                | Title: | Executive      Vice-President andChief      Financial Officer |

| Number | Document                                                                                                                                                                                                                                                                                         |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |                                                                                                                                                                                                                                                                                             |
| 1.1    | Annual      Information Form for the fiscal year ended December 31,    2007                                                                                                                                                                                                                      |
| 1.2    | Audited      Consolidated Financial Statements for the fiscal year ended December 31,      2007, prepared in accordance with Canadian generally accepted accounting      principles and reconciled to U.S. generally accepted accounting principles      in accordance with Item 18 of Form 20-F |
| 1.3    | Management's      Discussion and Analysis of Results of Operations and Financial Condition      for the fiscal year ended December 31, 2007                                                                                                                                                      |
| 23.1   | Consent      of PricewaterhouseCoopers LLP                                                                                                                                                                                                                                                       |
| 31.1   | Certification      of CEO pursuant to Section 302 of the Sarbanes-Oxley Act of      2002                                                                                                                                                                                                         |
| 31.2   | Certification      of CFO pursuant to Section 302 of the Sarbanes-Oxley Act of      2002                                                                                                                                                                                                         |
| 32.1   | Certification      of CEO and CFO pursuant to Section 906 of the Sarbanes-Oxley Act of      2002                                                                                                                                                                                                 |