my $match = 0;

while (<FILE>) {

    # get rid of newlines
    chomp;

    if ($match){

        # we have a line to print; reset the counter
        $match = 0;

        # replace multi-spaces with a single one
        s/\s+/ /g;

        print NEW "$_\n";
    }

    if (/$find/){

        # we found a $find; set $match to true
        $match = 1;

        print NEW $_;
    }
}