I have a problem with my dog?

He has this mole under his fur{on his skin}. I dont know what this could be? His skin also has parts that are red and itchy, alot of those dry skin patches to.
http://oi41.tinypic.com/v3i1oi.jpg
http://tinypic.com/view.php?pic=n4xob4&s=5


It's very pink and seems to look like it has tiny red looks to be like veins?
Yellow stuff seems to come out, like fat
http://oi41.tinypic.com/2j34l1w.jpg