One of the new thing that Microsoft has added to Windows 7 operating system is the concept of Libraries. Libraries is essentially a virtual folders that aggregates content from various physical folder and directory locations to present in a unified view in Windows Explorer. Incase you do not want Libraries icon in the navigation panel, checkout following procedure.
Remove Libraries in Windows 7
1. Click on Run> Regedit
2. Now goto HKEY_CLASSES_ROOT > CLSID > {031E4825-7B94-4dc3-B131-E946B44C8DD5} > ShellFolder
3. Now right click on the Shellfolder on the left pane and go to Permission. Click on Administrator and click on the Allow box given for Full Control permission. Click on OK
4. Now double click on the Attributes icon on the right hand side of the window. Change the DWORD value to b080010d
5. Click OK and Restart your PC. Now Libraries icon will be no loger present in the navigation panel on the left hand side in windows explorer.
