From The Collaborative International Dictionary of English v.0.48:

Yarn \Yarn\, n. [OE. yarn, [yogh]arn, AS. gearn; akin to D.
   garen, G., OHG., Icel., Sw., & Dan. garn; of uncertain
   origin. Cf. Cord.]
   [1913 Webster]
   1. Spun wool; woolen thread; also, thread of other material,
      as of cotton, flax, hemp, or silk; material spun and
      prepared for use in weaving, knitting, manufacturing
      sewing thread, or the like.
      [1913 Webster]

   2. (Rope Making) One of the threads of which the strands of a
      rope are composed.
      [1913 Webster]

   3. A story told by a sailor for the amusement of his
      companions; a story or tale; as, to spin a yarn. [Colloq.]
      [1913 Webster]
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