Problem with mail merge: formatting of address block/greeting line

I've been using mail merge for a while to send a form letter to a list of
different recipients. For some reason, now when I try to insert the address
block and greeting line it doesn't show up with the right formatting. For
example, I want the greeting line to say "Dear Mr. Smith", and I select that
from the choices it gives you, but then it just inserts the person's full
name so: "Dear John Smith". The same thing happens with the address block
(just inserting John Smith instead of Mr. John Smith).

Any help would be greatly appreciated!

By the way, I'm using Microsoft XP, Word 2003