Basically there are many ways to do this. If you know how many lines you want to remove, then i would scan for the 'end of line' characters (\n in '\' Codes Display), until you have reached the number of lines you want to delete, and then using the 'Match pattern' VI you can return the last portion of the string.
I have included an example of this method for you (in LV 6.0).
In the example i have also shown how you can convert the data into a spreadsheet string and saved it as such. But you could merely 'Write characters to file' using the same path, and making sure a new file is created.
I hope this helps you..
Kim