If you're using Word's AddressBlock merge field, you might get better results by not using that and, instead, inserting the mergefields individually as & where you require them. If the space remains, it's in the data. There's nothing a mailmerge can do about that; you'll need to fix it at the source.

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Cheers,
Paul Edstein
[Fmr MS MVP - Word]

Hi Paul and thanks loads for helping me out.

Manny