I am new to apple and like my macbook pro, for the most part, but things like this are extremely aggravating.
Even if this feature worked in Snow Leopard like it worked in past OS X versions, it would be bad. For example, my friend Silex McGillicutty is in my iPhone, but I don't have his wife's contact information in my iphone or on my computer. I do have her name, Henrietta McGillicutty in the "spouse" field of Address Book. I should be able to print out a label that says Silex and Henrietta regardless of whether or not I have an contact in my address book for Henrietta. I don't need Henrietta in my iphone.
To get around this, I had to change the first names for my friends to Friend and Spouse. Now, in my iphone or anywhere in my macbook pro when I email someone or deal with their address book entry, I see Friend and Spouse. This is all because I was in charge of making my address labels. Now I could go back and remove "and Spouse" from all the contacts, but I'll have to add them in next Christmas.
The Windows dude in all of the commercials would have a field day with this insanity.
It would be very nice if this label feature of Address Book was improved upon.
VERY FRUSTRATING