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I would like to begin a section with a character that is in a larger font than the succeeding text. I can do that, but then the line spacing for the entire line is determined by the requirements for that one character, as in the attached example. If I try to modify this
via the paragraph palette it modifies the spacing for the entire paragraph. Is there a way to use the same spacing for the first line as for the rest of the paragraph ?

There is something you can do: switch the line spacing mode from "multiple" to "fixed". This will ensure the lines of text in the paragraph are exactly the same height, regardless of how large the letters are.

However, the result is a bit of a mess: You can see that the large "T" draws over the prior paragraph/line because there isn't enough space for it. The solution is to increase the paragraph's spacing before, so the lines inhabit their own area on screen.

I'm attaching an example file that incorporates all of this into style definitions. The "Drop Caps Paragraph" paragraph style should be applied to any paragraphs where you'd like to add a large first letter (these are called "Drop Caps"). Meanwhile the "Drop Cap Letter" character style should be applied to the first letter to make it large.

I hope this helps.

Thank you ! That was exactly the information I was looking for.