The story of Christmas begins with the birth of a babe in Bethlehem. It is believed that Christ was born on the 25th, although the exact month is unknown. December was likely chosen so the Catholic Church could compete with rival pagan rituals held at that time of year and because of its closeness with the winter solstice in the Northern hemisphere, a traditional time of celebration among many ancient cultures.The origin of Santa Claus begins in the 4th century with Saint Nicholas, Bishop of Myra, an area in present day Turkey. By all accounts St. Nicholas was a generous man, particularly devoted to children. After his death around 340 A.D. he was buried in Myra, but in 1087 Italian sailors purportedly stole his remains and removed them to Bari, Italy, greatly increasing St. Nicholas' popularity throughout Europe.
After the Reformation, European followers of St. Nicholas dwindled, but the legend was kept alive in Holland where the Dutch spelling of his name Sint Nikolaas was eventually transformed to Sinterklaas. Dutch children would leave their wooden shoes by the fireplace, and Sinterklaas would reward good children by placing treats in their shoes. Dutch colonists brought brought this tradition with them to America in the 17th century and here the Anglican name of Santa Claus emerged.
Although it is a common misconception that the term Xmas is disrespectful, its origins show this not to be true. The Greek word for Christ is Xristos, and the letter "X" was frequently used as a religous symbol. Thus Xmas is merely an abbreviated form of the word Christmas and was first used by Europeans in the 16th century.