Interesting, I tested what eboyhan said as to editing the json file and placing it in the root dir before a restart.
that has no effect. but my kindle did rebuild the collections using a edited /system/collections.json after a restart.
this is proven by the fact that if the /system/collections.json file is missing on a kindle when its restarted and wireless is off all collections will be lost.
its annoying but at least it IS possible to edit collections externally.
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