Let's just call it facial hair.
I saw something similar at a craft fair a couple months ago. Even though I usually don't do a lot of Santa themed projects, I thought that one was unique and it struck my fancy, for some reason. I should've taken a picture. A couple weeks later, a bunch of long, rough sawn pine 1x6's appeared in the scrap pile at work. This project came to mind as the perfect use for them, so I salvaged them and brought them home. I couldn't remember exactly how the craft fair Santa's looked, so I searched Google images, presuming I would stumble onto a number of similar projects I could borrow from. Not so much. So, the design for these guys is mostly made up by me. I drew it out on a piece of paper, then made templates for all of the pieces out of 1/4" ply to make sure I liked the final proportions. This is what I came up with.