Make copies of billing_agreement.xml and recurring_profile.xml which are located at \app\design\frontend\base\default\layout\sales into \app\design\frontend\your_package\your_theme\layout\sales.
In billing_agreement.xml comment out:
<action method="addLink" translate="label"><name>billing_agreements</name><path>sales/billing_agreement/</path><label>Billing Agreements</label></action>
In recurring_profile.xml comment out:
<action method="addLink" translate="label"><name>recurring_profiles</name><path>sales/recurring_profile/</path><label>Recurring Profiles</label></action>
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