I also have backyard squirrels that I just recently noticed are losing their fur. Two just have small patches gone under their arms, and one has larger patches missing on his side and back. We feed them all in the backyard, (nuts, sunflower seeds, corn) and that we put on the ground and then we also put sunflower seeds and birdseed in a feeder. They get into that too. They also have plenty of water here too. We seem to be attracting more squirrels than most this year (I think they love all the nuts we put out). Could it be that they are infecting other squirrels? Is there anything we can put out that would help them to fight this disease? Looking for any help because we certainly love all our squirrels!