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He looks okay. You do not want back bones, hip bones etc sticking out . A few ribs is okay as long as there is flesh over them. As He grows he will change body shape. He will also be building muscle so he needs to be in an area where he can move around and use his legs and feet. Be sure to keep him up on his vaccines and farrier. He looks like he will be a pretty horse. I would not really use any sweet feed and he should do fine on good quality hay water and mineral/salt licks.
 

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There are a number of reasons why you bought this horse from a horse trader, and not a kill pen. Canner buyers don't buy yearlings, there's just not that much to them. And the price of horses right now is crazy high. No one is going to can a nice yearling and take meat price. Most canner buyers are also horse traders. If they can get a good buy on a horse that they know they can sell for a profit, they do.
Your's is a nice looking colt. It's not that he's thin, he looks like he just could use some "horsekeeping". I would worm him, wait a couple weeks, and do it again. I would also get his teeth checked, even yearlings can need dental help.
Then just plenty of good hay and time.
I'm not a big fan of a lot of grain, I like my horses to grow slower. It would be better if he can be turned out on a large pasture to just let run and be a horse.
He's got the possibility of growing up into a fine horse.
There are foals in Kill Pens. Foals. 2 and 3 month old foals in kill pens. Yearlings etc. Yes the Canners buy yearlings and foals. go look at the auction in Texas in the direct ship pens. Go look at that auctions where the loose horses are run through , at the end of the auction. Its the kill buyers bidding.
 

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Those auctions are not going to keep mares or skinny horses for months on end before shipping. Maybe the canners office you were at is a bit more honest. THey sure are not going to pull out mares and preg check them. I have seen photos of the direct ship pens, where there were sick injured horses and videos of them being loaded into trucks. I guess the videos must all be lies and those large trailers are loading 20 horses to a private buyer. lol
 
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