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In some versions of Netscape and Microsoft browsers, this attribute controls word-wrap behavior. A value of off for the attribute forces the <textarea> not to wrap text, so the viewer must manually enter line breaks. A value of hard causes word wrap and includes line breaks in text submitted to the server. A value of soft causes word wrap but removes line breaks from text submitted to the server. Internet Explorer supports a value of physical, which is equivalent to Netscape's hard value, and a value of virtual, which is equivalent to Netscape's soft value. If the wrap attribute is not included, text will still wrap under Internet Explorer, but older versions of Netscape, notably Netscape 4, will scroll horizontally in the text box. Given this problem, even though it is nonstandard, it may be a good idea to include the wrap attribute. [ Source: http://www.htmlref.com/Reference/AppA/tag_textarea.htm ]
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