A word originally meaning someone from New England, then the Northern U.S., then the North-Eastern US (those states that were always non-slave states). Now means the moderate type of American that the rest of the world can get along with (even those from the South), as opposed to the people like George W. Bush or Britney "we elected the President, so he must be right" Spears, or, at extremes, the KKK.
American: I don't want any of this "Real Ale". Where's the Budweiser?
Brit: *grimacing* Oh well, at least you're a yank not a redneck.
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