You can create five different types of document from a mail merge.
Word creates a new letter for each set of merge data
Word creates a new envelope for each set of merge data
Word creates new labels for each set of merge data
When you create a directory Word creates only one new document that contains all the merged data.
Word repeats any standard text you add to the catalog main document for each data set.
This is useful if you want to print a list of information from a database.
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