If rather than using the AddressBlock field, you just insert the individual
mergefields, the blank lines will not appear. when the address2 field is
empty.

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Hope this helps.
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Doug Robbins - Word MVP
> How do I suppress blank lines in XP mail merge? Specifically for an inside
> address record that doesnt have an address2 line? There used to be a
> "suppress blank lines" option in mail merge. Now it sometimes seems to
> automatically suppress blank lines and in some new documents it doesn't.