After a Mail Merge is done no data is merged and only the template is shown.
The expected result from the Mail merge is:
The actual result after the Mail merge:
Only the template is displayed, no data is actually merged into the word document.
Workaround / Resolution:
Replace the SCRM file in C:\Program Files (x86)\Sage\CRM\CRM71i\tomcat\webapps\crm71ij\WEB-INF\lib with a SCRM from a vanilla install of the same version.
Seems that the SCRM file did not update fully when the patch was installing.