looks like you have 2 Vista entries. the 2nd looks like it should load Vista. It chainloads /dev/sda2 and /dev/sda2 has the VIsta boot loader. Just a little weird that sda2 has a copy of menu.lst in it - guess you must have coppied it there trying to fix - no harm thought.
Have you tried the 2nd Vista entry?
( 1st Vista entry chainloads sda1 - sda1 look like a Vista recovery partition).
If the 2nd entry does not work, you can try using Vistas recovery console and use bootrec.exe to get the PC to boot straight to Vista. Bootrec.exe tool Vista (MS support)
@syg00 Ubuntu 8.04 is a LTS (Long term support) release - still has another 1.5 years of desktop support left. (3.5 year left on server installs) Its stable - I use it on my desktop. -