In this case, the labels will be contained in a PDF file and therefore will not be editable. Define your labels directly within LGL.You can also make changes to the address as necessary after the files have been generated.
In this case, labels produced will be contained in a Word document, and you have control over the formatting to the extent that Word offers. There are two ways to create new custom label templates for use with any mailing in LGL: LGL offers you the ability to create templates for labels that can be used to address physical mailings.