The horse is gifted to you by Takakura during the Summer of your first year. It is used for fast travel but does not produce any items that you can ship. It cannot get sick but some care is required including, talking to it, feeding it, and brushing it. To call your horse to you press the R button twice.
In the Special Edition of A Wonderful Life, the horse is available in multiple colors including chestnut, white, and dark brown.