In using the Photo app, I find I cannot delete the pictures. The delete button doesn't highlight to be clicked on. Is this an operator error or can someone tell me how to delete pics or even a whole ablum?
That's correct. Photos imported via iTunes can only be removed via iTunes. Photos imported with the camera connection kit, through email, taken with the iPad 2, etc. can be deleted: tap on the photo in question to make it full sized and a trash can will appear in the upper RH corner.