My Personal Folder that I use to keep email on my harddrive has about
a dozen specific folders to file email, based on the sender, content,
etc.  For some reason, there are also several 'default' folders
(similar to Outlook Today folders) that appear like INBOX, CALENDER,
CONTACTS, INBOX, JOURNAL, ETC. I do not want these folders in my
Personal FOlder.  When I right-click the folder to close or delete the
folder, the DELETE option is shaded, thereby not allowing me to modify
or suppress it.  Please advise how I can suppress these folders for
which I have no need in my .pst file.

Unfortunately once these folders are created, you can't delete them.
However, if you create a new PST file then they won't exist. You can
the copy over content you do want.

To create a PST file, select File / New / Outlook Data File from the dropdown menus.