Why is there a "Recipient" when merging PDF or Letters?

Update:

Case #844432

Enhancement 106496:Transaction Mail Merge (CRM for ERP): primary contact name tags are missing in transaction mail merge.



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(I know this should probably have gone under  Sales / Marketing / Support & Service-->Email/Letter Templates, but I dont think anyone reads that subforum...)

My opinion:  Document merge functionality is poorly implemented and poorly documented.  CRMSDK is only partially functional because it apparently cannot pull data across entity types.


My Problem: 
Why is there a recipient selection when merging a Letter or PDF file?
It seems to make no sense!

1.)  I am not sending the document to the contact at this point (simply merging data into a document to be stored with the record)