chrisms
Holiday
outside
You can make one seven lettered word from these letters which is nirvana.
cabbage, baggage
Olympic
Holiday
Pudding
popcorn
One proper name is the town of Bethlehem. One word not directly related to Christmas would be "messianic".
outside
You can make two 7 letter words : COSTARS and CASTORS
laminae
Wiriest
netball
choanae
stammer
Demented