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Default Question about propagate labels

Hi, I'm using Word 2002 and I was just wondering: Is the propagate labels
feature only available when you use the mail merge wizard? I don't like
using the wizard, but when I set the mail merge up on my own the propagate
labels button is grayed out. Should this be the case or is there a way to
get that button to work without using the wizard?

Thanks in advance for any information.