Extending i18n to change app title

Hi,

I am extending my timesheet v2 app. When I ran the app the title shows TIMESHEET_TITLE as show below.

When I try to extend the 118n text resource to make changes, the i18n folder go to the dist folder that is grayed out.

I'm thinking it should be under my webapp folder...

How do I make it appear in my webapp folder? and what is this dist folder used for?

Thanks in advance...