Deletion isn't really a good first option (you have none left), 'first do no harm' don't delete, send virus to the chest and investigate.
Windows in its infinite wisdom protects files in use (even malware) or in system folders, so it is likely that avast! can't delete or move files in use. So schedule boot-time scan in avast's menu if you have XP, win2k or NT, otherwise boot into safe mode and run an avast scan. This should ensure that the file isn't in use and avast should be able to deal with it.
That is why you can't delete it, so you should schedule a boot-time scan, etc. follow Tech's instruction.
You might also consider proactive protection, in order to place files in the system folders and create registry entries you need permission. Prevention is much better and theoretically easier than cure.
Whilst browsing or collecting email, etc. if you get infected then the malware by default inherits the same permissions that you have for your user account. So if the user account has administrator rights, the malware has administrator rights and can reap havoc. With limited rights the malware can't put files in the system folders, create registry entries, etc. This greatly reduces the potential harm that can be done by an undetected or first day virus, etc.
Check out the link to DropMyRights (in my signature below) - Browsing the Web and Reading E-mail Safely as an Administrator. This obviously applies to those NT based OSes that have administrator settings, winNT, win2k, winXP.
