Cleaning the “New" context menu in Windows XP
First off, go to the Windows XP PowerToys download page and download the Tweak UI application.
Run the executable and follow the prompts to install Tweak UI. After the install has completed, you will find the application under Start → Program Files → Powertoys for Windows XP → Tweak UI.
1) If you haven’t already, start Tweak UI
2) Browse to the Templates item as displayed in the picture below
3) After a moment, you will see the items that are listed in your “New" context menu
4) You can now click on a Template and then click on Delete
5) After the Template is deleted, click OK
6) Depending on the Template deleted, your screen may do a refresh as Windows Explorer is restarted to update the context menus
Note that some system Templates such as the “Briefcase" cannot be deleted, but they can be disabled. Follow steps 1-3 as above, but instead of selecting an item and clicking delete, just un-check the box next to it. This will disable the item from your context menu, but will not permanently delete it. If you attempt to delete a system Template such as the Briefcase, Tweak UI will go along with your request, but you will find that the Template isn’t deleted or even disabled. Entering Tweak UI again will show the Template as it was before.