XML 22 R12.htm IDEA: XBRL DOCUMENT
v3.21.1

Loans Held for Investment and Allowance for Credit Losses on Loans | 3 Months Ended
--- | ---
Mar. 31, 2021
Receivables [Abstract] |
Loans Held for Investment and Allowance for Credit Losses on Loans |
(4) | LOANS HELD FOR INVESTMENT AND ALLOWANCE FOR CREDIT LOSSES ON LOANS
Loans held for investment are summarized by portfolio segment as follows:
| March 31, 2021 |  |  | December 31, 2020 |
| Amount |  |  | Amount |
| (Dollars in thousands) |
BancFirst |  |  |  |  |  |  |
Real estate: |  |  |  |  |  |  |
Commercial real estate owner occupied | $ | 636,652 |  |  | $ | 641,987 |
Commercial real estate non-owner occupied |  | 959,988 |  |  |  | 971,158 |
Construction and development < 60 months |  | 258,585 |  |  |  | 229,615 |
Construction residential real estate < 60 months |  | 196,096 |  |  |  | 206,195 |
Residential real estate first lien |  | 844,149 |  |  |  | 853,316 |
Residential real estate all other |  | 165,513 |  |  |  | 168,081 |
Farmland |  | 251,875 |  |  |  | 252,958 |
Commercial and agricultural non-real estate |  | 1,101,518 |  |  |  | 1,159,810 |
Consumer non-real estate |  | 348,988 |  |  |  | 355,405 |
Oil and gas |  | 172,300 |  |  |  | 179,355 |
Other loans (2) |  | 878,233 |  |  |  | 822,078 |
Pegasus Bank |  | 544,493 |  |  |  | 554,548 |
Total (1) | $ | 6,358,390 |  |  | $ | 6,394,506 |
(1) Excludes accrued interest receivable of $24.7 million at March 31, 2021 and $26.0 million at December 31, 2020, that is recorded in accrued interest receivable and other assets. |
(2) Includes PPP loans held for investment of $713.7 million, net of unamortized processing fees of $23.3 million at March 31, 2021 and $652.7 million, net of unamortized processing fees of $14.5 million at December 31, 2020. |
Other loans. Other loans consist of loans approved by the Small Business Administration (“SBA”), which include loans funded through the Paycheck Protection Program (“PPP”). Since PPP loans are fully guaranteed by the SBA, there is no expected credit loss related to these loans. In April 2020, the Company began originating loans to qualified small businesses under the PPP administered by the SBA. During the three months ended March 31, 2021, $9.8 million of processing fees were recognized as interest income related to the PPP loans. BancFirst’s loans are mostly to customers within Oklahoma and approximately 52% of the loans are secured by real estate. Credit risk on loans is managed through limits on amounts loaned to individual and related borrowers, underwriting standards and loan monitoring procedures. The amounts and types of collateral obtained, if any, to secure loans are based upon the Company’s underwriting standards and management’s credit evaluation. Collateral varies, but may include real estate, equipment, accounts receivable, inventory, livestock and securities. The Company’s interest in collateral is secured through filing mortgages and liens, and in some cases, by possession of the collateral. BancFirst’s commercial and agricultural non-real estate and oil and gas loan categories include upstream and midstream energy loans, and loans to companies that provide ancillary services to the energy industry, such as transportation, preparation contractors and equipment manufacturers. The balance of upstream energy loans was approximately $183 million at March 31, 2021 and approximately $191 million at December 31, 2020. The balance of midstream energy loans was approximately $33 million at March 31, 2021 and approximately $50 million at December 31, 2020. The balance of the ancillary services energy loans was approximately $67 million at March 31, 2021 and approximately $59 million at December 31, 2020. Pegasus Bank’s loans are mostly to customers within Texas and approximately $294 million or 54% of the loans are secured by real estate at March 31, 2021. Pegasus Bank’s commercial and agricultural non-real estate loans were approximately $228 million at March 31, 2021 and approximately $262 million at December 31, 2020. Pegasus Bank’s commercial and agricultural non-real estate loan category includes upstream energy loans, and loans to companies that provide ancillary services to the energy industry, such as transportation, preparation contractors and equipment manufacturers. The balance of upstream energy loans was approximately $109 million at March 31, 2021 and approximately $107 million at December 31, 2020. The balance of midstream energy loans was approximately $11 million at both March 31, 2021 and December 31, 2020. The balance of the ancillary services energy loans was approximately $15 million at March 31, 2021 and approximately $13 million at December 31, 2020. Accounting policies related to appraisals, and charge-offs are disclosed in Note (1) to the Company’s Annual Report on Form 10-K for the year ended December 31, 2020. Troubled Debt Restructur ings, Other Real Estate Owned and Repossessed Assets and Held for Sale Assets The following is a summary of troubled debt restructurings and other real estate owned and repossessed assets:
|  | March 31, |  |  | December 31, |
|  | 2021 |  |  | 2020 |
|  | (Dollars in thousands) |
Troubled debt restructurings |  | $ | 7,801 |  |  | $ | 7,784 |
Other real estate owned and repossessed assets |  | $ | 30,320 |  |  | $ | 32,480 |
The Company charges interest on principal balances outstanding on troubled debt restructurings during deferral periods. The current and future financial effects of the recorded balance of loans considered to be troubled debt restructurings were not considered to be material. During the first quarter of 2021, the Company sold property held in other real estate owned for a total loss of $55,000, compared to a total gain of $2.2 million in the first quarter of 2020. Nonaccrual loans Had nonaccrual loans performed in accordance with their original contractual terms, the Company would have recognized additional interest income of approximately $521,000 for the three months ended March 31, 2021 and approximately $332,000 for the three months ended March 31, 2020. Nonaccrual loans guaranteed by government agencies totaled approximately $6.6 million at March 31, 2021 and approximately $7.8 million at December 31, 2020. The following table is a summary of amounts included in nonaccrual loans, segregated by portfolio segment.
|  | March 31, 2021 |  |  | December 31, 2020 |
|  | (Dollars in thousands) |
BancFirst |  |  |  |  |  |  |  |
Real estate: |  |  |  |  |  |  |  |
Commercial real estate owner occupied |  | $ | 969 |  |  | $ | 1,404 |
Commercial real estate non-owner occupied |  |  | 4,794 |  |  |  | 4,719 |
Construction and development < 60 months |  |  | 91 |  |  |  | 95 |
Construction residential real estate < 60 months |  |  | — |  |  |  | — |
Residential real estate first lien |  |  | 3,163 |  |  |  | 3,615 |
Residential real estate all other |  |  | 1,293 |  |  |  | 1,362 |
Farmland |  |  | 5,848 |  |  |  | 7,901 |
Commercial and agricultural non-real estate |  |  | 12,391 |  |  |  | 12,782 |
Consumer non-real estate |  |  | 212 |  |  |  | 268 |
Oil and gas |  |  | — |  |  |  | — |
Other loans |  |  | 6,565 |  |  |  | 5,399 |
Pegasus Bank |  |  | — |  |  |  | — |
Total |  | $ | 35,326 |  |  | $ | 37,545 |
Loans are considered past due if the required principal and interest payments have not been received as of the date such payments were due. The following table presents an age analysis of our loans held for investment:
|  | Age Analysis of Past Due Loans |
|  | 30-59 Days Past Due |  |  | 60-89 Days Past Due |  |  | 90 Days and Greater |  |  | Total Past Due Loans |  |  | Current Loans |  |  | Total Loans |  |  | Accruing Loans 90 Days or More Past Due |
|  | (Dollars in thousands) |
As of March 31, 2021 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
BancFirst |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Real estate: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial real estate owner occupied |  | $ | 601 |  |  | $ | 80 |  |  | $ | 739 |  |  | $ | 1,420 |  |  | $ | 635,232 |  |  | $ | 636,652 |  |  | $ | — |
Commercial real estate non-owner occupied |  |  | 4,757 |  |  |  | — |  |  |  | 108 |  |  |  | 4,865 |  |  |  | 955,123 |  |  |  | 959,988 |  |  |  | 33 |
Construction and development < 60 months |  |  | 419 |  |  |  | 45 |  |  |  | — |  |  |  | 464 |  |  |  | 258,121 |  |  |  | 258,585 |  |  |  | — |
Construction residential real estate < 60 months |  |  | 1,510 |  |  |  | — |  |  |  | — |  |  |  | 1,510 |  |  |  | 194,586 |  |  |  | 196,096 |  |  |  | — |
Residential real estate first lien |  |  | 5,444 |  |  |  | 706 |  |  |  | 2,927 |  |  |  | 9,077 |  |  |  | 835,072 |  |  |  | 844,149 |  |  |  | 1,022 |
Residential real estate all other |  |  | 1,588 |  |  |  | 30 |  |  |  | 1,338 |  |  |  | 2,956 |  |  |  | 162,557 |  |  |  | 165,513 |  |  |  | 173 |
Farmland |  |  | 614 |  |  |  | 140 |  |  |  | 4,242 |  |  |  | 4,996 |  |  |  | 246,879 |  |  |  | 251,875 |  |  |  | 14 |
Commercial and agricultural non-real estate |  |  | 1,164 |  |  |  | 374 |  |  |  | 5,019 |  |  |  | 6,557 |  |  |  | 1,094,961 |  |  |  | 1,101,518 |  |  |  | 1,326 |
Consumer non-real estate |  |  | 1,589 |  |  |  | 330 |  |  |  | 430 |  |  |  | 2,349 |  |  |  | 346,639 |  |  |  | 348,988 |  |  |  | 365 |
Oil and gas |  |  | 61 |  |  |  | — |  |  |  | — |  |  |  | 61 |  |  |  | 172,239 |  |  |  | 172,300 |  |  |  | — |
Other loans |  |  | 221 |  |  |  | 428 |  |  |  | 3,897 |  |  |  | 4,546 |  |  |  | 873,687 |  |  |  | 878,233 |  |  |  | 2,349 |
Pegasus Bank |  |  | — |  |  |  | 1,747 |  |  |  | — |  |  |  | 1,747 |  |  |  | 542,746 |  |  |  | 544,493 |  |  |  | — |
Total |  | $ | 17,968 |  |  | $ | 3,880 |  |  | $ | 18,700 |  |  | $ | 40,548 |  |  | $ | 6,317,842 |  |  | $ | 6,358,390 |  |  | $ | 5,282 |
As of December 31, 2020 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
BancFirst |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Real estate: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial real estate owner occupied |  | $ | 1,096 |  |  | $ | 108 |  |  | $ | 1,164 |  |  | $ | 2,368 |  |  | $ | 639,619 |  |  | $ | 641,987 |  |  | $ | — |
Commercial real estate non-owner occupied |  |  | 323 |  |  |  | — |  |  |  | 34 |  |  |  | 357 |  |  |  | 970,801 |  |  |  | 971,158 |  |  |  | 35 |
Construction and development < 60 months |  |  | 511 |  |  |  | 86 |  |  |  | — |  |  |  | 597 |  |  |  | 229,018 |  |  |  | 229,615 |  |  |  | — |
Construction residential real estate < 60 months |  |  | 1,106 |  |  |  | — |  |  |  | 282 |  |  |  | 1,388 |  |  |  | 204,807 |  |  |  | 206,195 |  |  |  | 282 |
Residential real estate first lien |  |  | 5,428 |  |  |  | 1,463 |  |  |  | 2,978 |  |  |  | 9,869 |  |  |  | 843,447 |  |  |  | 853,316 |  |  |  | 945 |
Residential real estate all other |  |  | 520 |  |  |  | 55 |  |  |  | 1,606 |  |  |  | 2,181 |  |  |  | 165,900 |  |  |  | 168,081 |  |  |  | 384 |
Farmland |  |  | 1,297 |  |  |  | 344 |  |  |  | 6,223 |  |  |  | 7,864 |  |  |  | 245,094 |  |  |  | 252,958 |  |  |  | 135 |
Commercial and agricultural non-real estate |  |  | 2,788 |  |  |  | 1,794 |  |  |  | 4,345 |  |  |  | 8,927 |  |  |  | 1,150,883 |  |  |  | 1,159,810 |  |  |  | 465 |
Consumer non-real estate |  |  | 2,154 |  |  |  | 501 |  |  |  | 534 |  |  |  | 3,189 |  |  |  | 352,216 |  |  |  | 355,405 |  |  |  | 386 |
Oil and gas |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 179,355 |  |  |  | 179,355 |  |  |  | — |
Other loans |  |  | 951 |  |  |  | 1,223 |  |  |  | 6,618 |  |  |  | 8,792 |  |  |  | 813,286 |  |  |  | 822,078 |  |  |  | 2,170 |
Pegasus Bank |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 554,548 |  |  |  | 554,548 |  |  |  | — |
Total |  | $ | 16,174 |  |  | $ | 5,574 |  |  | $ | 23,784 |  |  | $ | 45,532 |  |  | $ | 6,348,974 |  |  | $ | 6,394,506 |  |  | $ | 4,802 |
Due to the impacts of the COVID-19 pandemic, the Company had approximately $88 million in modified loans as of March 31, 2021 and $81.7 million in modified loans as of December 31, 2020, most of which were secured by commercial real estate. These modifications were undertaken in response to Section 4013 of the CARES Act and the regulatory intent outlined in the Interagency Statement on Loan Modifications by Financial Institutions Working with Customers Affected by the Coronavirus and to provide businesses financial flexibility until the economy has time to recover to a more normal level of activity. However, these modifications, which typically involve payment modifications and forbearance, also have the effect of delaying recognition of loans that may ultimately be permanently impaired. The timing and extent of such consequences are difficult to ascertain at this time and are dependent on the duration of the COVID-19 pandemic, the level and success of the government’s economic stimulus, and further regulatory guidance. These modified loans are included in Current Loans in the table above. Credit Quality Indicators The Company considers credit quality indicators to monitor the credit risk in the loan portfolio including volume and severity of loan delinquencies, nonaccrual loans, internal grading of loans, historical credit loss experience and economic conditions. An internal risk grading system is used to indicate the credit risk of loans. The loan grades used by the Company are for internal risk identification purposes and do not directly correlate to regulatory classification categories or any financial reporting definitions. The general characteristics of the risk grades and the table summarizing our gross loans held for investment by year of origination and internally assigned credit grades as of December 31, 2020, are disclosed in Note (5) to the Company’s Annual Report on Form 10-K for the year ended December 31, 2020. The Company’s revolving loans that are converted to term loans are not material and therefore have not been presented. The following table summarizes our gross loans held for investment by year of origination and internally assigned credit grades as of March 31, 2021:
|  | Term Loans Amortized Cost Basis by Origination Year |  |  |  |
|  | 2021 |  | 2020 |  | 2019 |  | 2018 |  | 2017 |  | Prior |  | Revolving Loans Amortized Cost Basis |  | Total
|  | (Dollars in thousands)
As of March 31, 2021 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
BancFirst |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial real estate owner occupied |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Grade 1 |  | $23,563 |  | $146,668 |  | $86,383 |  | $63,000 |  | $37,685 |  | $117,044 |  | $16,271 |  | $490,614
Grade 2 |  | 4,208 |  | 40,127 |  | 30,459 |  | 10,616 |  | 9,613 |  | 37,459 |  | 4,201 |  | 136,683
Grade 3 |  | 9 |  | 3,825 |  | 30 |  | 466 |  | 483 |  | 3,573 |  | — |  | 8,386
Grade 4 |  | — |  | 34 |  | 63 |  | 317 |  | — |  | 248 |  | 307 |  | 969
Total commercial real estate owner occupied loans |  | 27,780 |  | 190,654 |  | 116,935 |  | 74,399 |  | 47,781 |  | 158,324 |  | 20,779 |  | 636,652
Commercial real estate non-owner occupied |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Grade 1 |  | 50,243 |  | 236,739 |  | 154,498 |  | 73,368 |  | 64,959 |  | 143,281 |  | 11,514 |  | 734,602
Grade 2 |  | 7,968 |  | 58,067 |  | 45,308 |  | 26,102 |  | 17,806 |  | 47,430 |  | 4,929 |  | 207,610
Grade 3 |  | 6,738 |  | 785 |  | 3,063 |  | 519 |  | 1,609 |  | 81 |  | — |  | 12,795
Grade 4 |  | — |  | 4,719 |  | 86 |  | — |  | — |  | 176 |  | — |  | 4,981
Total commercial real estate non-owner occupied loans |  | 64,949 |  | 300,310 |  | 202,955 |  | 99,989 |  | 84,374 |  | 190,968 |  | 16,443 |  | 959,988
Construction and development < 60 months |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Grade 1 |  | 45,528 |  | 92,005 |  | 60,758 |  | 11,413 |  | 3,686 |  | 3,077 |  | 7,971 |  | 224,438
Grade 2 |  | 4,073 |  | 11,256 |  | 11,272 |  | 1,116 |  | 746 |  | 758 |  | 803 |  | 30,024
Grade 3 |  | 2,053 |  | 1,795 |  | 131 |  | 8 |  | 45 |  | — |  | — |  | 4,032
Grade 4 |  | — |  | — |  | 62 |  | 8 |  | 21 |  | — |  | — |  | 91
Total construction and development < 60 months |  | 51,654 |  | 105,056 |  | 72,223 |  | 12,545 |  | 4,498 |  | 3,835 |  | 8,774 |  | 258,585
Construction residential real estate < 60 months |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Grade 1 |  | 44,635 |  | 107,546 |  | 155 |  | 69 |  | 20 |  | 36 |  | 10,678 |  | 163,139
Grade 2 |  | 7,530 |  | 23,822 |  | — |  | 110 |  | — |  | 462 |  | 200 |  | 32,124
Grade 3 |  | 286 |  | 547 |  | — |  | — |  | — |  | — |  | — |  | 833
Total construction residential real estate < 60 months |  | 52,451 |  | 131,915 |  | 155 |  | 179 |  | 20 |  | 498 |  | 10,878 |  | 196,096
Residential real estate first lien |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Grade 1 |  | 68,977 |  | 214,495 |  | 122,472 |  | 74,112 |  | 58,362 |  | 166,467 |  | — |  | 704,885
Grade 2 |  | 5,180 |  | 26,051 |  | 15,445 |  | 19,158 |  | 11,149 |  | 42,497 |  | — |  | 119,480
Grade 3 |  | 687 |  | 2,590 |  | 2,548 |  | 2,128 |  | 1,721 |  | 5,593 |  | — |  | 15,267
Grade 4 |  | 49 |  | 412 |  | 659 |  | 498 |  | 200 |  | 2,699 |  | — |  | 4,517
Total residential real estate first lien |  | 74,893 |  | 243,548 |  | 141,124 |  | 95,896 |  | 71,432 |  | 217,256 |  | — |  | 844,149
Residential real estate all other |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Grade 1 |  | 3,747 |  | 19,180 |  | 12,583 |  | 9,427 |  | 5,641 |  | 16,013 |  | 29,371 |  | 95,962
Grade 2 |  | 605 |  | 3,502 |  | 1,833 |  | 1,333 |  | 1,623 |  | 2,393 |  | 53,936 |  | 65,225
Grade 3 |  | 105 |  | 146 |  | 466 |  | 288 |  | 87 |  | 351 |  | 1,296 |  | 2,739
Grade 4 |  | — |  | 217 |  | — |  | 558 |  | 95 |  | 695 |  | 22 |  | 1,587
Total residential real estate all other |  | 4,457 |  | 23,045 |  | 14,882 |  | 11,606 |  | 7,446 |  | 19,452 |  | 84,625 |  | 165,513
Farmland |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Grade 1 |  | 12,125 |  | 46,945 |  | 25,602 |  | 16,291 |  | 13,155 |  | 35,907 |  | 9,321 |  | 159,346
Grade 2 |  | 4,126 |  | 11,817 |  | 30,125 |  | 6,254 |  | 5,959 |  | 13,371 |  | 8,506 |  | 80,158
Grade 3 |  | 1,399 |  | 2,217 |  | 287 |  | 74 |  | 842 |  | 1,116 |  | 2,007 |  | 7,942
Grade 4 |  | — |  | 414 |  | 14 |  | 3,188 |  | 296 |  | 239 |  | 278 |  | 4,429
Total farmland |  | 17,650 |  | 61,393 |  | 56,028 |  | 25,807 |  | 20,252 |  | 50,633 |  | 20,112 |  | 251,875
Commercial and agricultural non-real estate |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Grade 1 |  | 117,733 |  | 144,961 |  | 128,177 |  | 92,010 |  | 63,617 |  | 60,998 |  | 230,768 |  | 838,264
Grade 2 |  | 17,356 |  | 61,227 |  | 31,397 |  | 15,072 |  | 4,523 |  | 21,254 |  | 56,833 |  | 207,662
Grade 3 |  | 1,610 |  | 7,452 |  | 1,269 |  | 11,220 |  | 1,915 |  | 572 |  | 20,044 |  | 44,082
Grade 4 |  | — |  | 565 |  | 1,501 |  | 541 |  | 233 |  | 1,240 |  | 7,430 |  | 11,510
Total commercial and agricultural non-real estate |  | 136,699 |  | 214,205 |  | 162,344 |  | 118,843 |  | 70,288 |  | 84,064 |  | 315,075 |  | 1,101,518
Consumer non-real estate |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Grade 1 |  | 47,697 |  | 139,148 |  | 78,071 |  | 33,990 |  | 11,288 |  | 4,788 |  | 6,700 |  | 321,682
Grade 2 |  | 4,182 |  | 11,293 |  | 4,782 |  | 2,869 |  | 775 |  | 608 |  | 288 |  | 24,797
Grade 3 |  | 125 |  | 476 |  | 781 |  | 335 |  | 193 |  | 64 |  | 4 |  | 1,978
Grade 4 |  | 2 |  | 133 |  | 182 |  | 76 |  | 41 |  | 96 |  | 1 |  | 531
Total consumer non-real estate |  | 52,006 |  | 151,050 |  | 83,816 |  | 37,270 |  | 12,297 |  | 5,556 |  | 6,993 |  | 348,988
Oil and gas |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Grade 1 |  | 71,423 |  | 36,838 |  | 62 |  | 74 |  | — |  | 4,071 |  | 14,562 |  | 127,030
Grade 2 |  | 8,431 |  | 8,706 |  | 651 |  | — |  | — |  | — |  | 9,619 |  | 27,407
Grade 3 |  | 17,737 |  | 126 |  | — |  | — |  | — |  | — |  | — |  | 17,863
Total oil and gas |  | 97,591 |  | 45,670 |  | 713 |  | 74 |  | — |  | 4,071 |  | 24,181 |  | 172,300
Other loans |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Grade 1 |  | 715,454 |  | 34,146 |  | 30,287 |  | 25,272 |  | 18,653 |  | 24,729 |  | 21,773 |  | 870,314
Grade 2 |  | — |  | — |  | 265 |  | 17 |  | 2,676 |  | 2,589 |  | 933 |  | 6,480
Grade 3 |  | — |  | — |  | — |  | 15 |  | 1 |  | 194 |  | 71 |  | 281
Grade 4 |  | — |  | 141 |  | — |  | — |  | 294 |  | 148 |  | 575 |  | 1,158
Total other loans |  | 715,454 |  | 34,287 |  | 30,552 |  | 25,304 |  | 21,624 |  | 27,660 |  | 23,352 |  | 878,233
Pegasus Bank |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Grade 1 |  | 30,903 |  | 93,796 |  | 57,518 |  | 25,501 |  | 17,290 |  | 54,093 |  | 117,769 |  | 396,870
Grade 2 |  | 10,555 |  | 24,966 |  | 22,483 |  | 3,524 |  | 19,199 |  | 8,146 |  | 57,185 |  | 146,058
Grade 3 |  | 121 |  | 117 |  | — |  | — |  | — |  | 1,327 |  | — |  | 1,565
Total Pegasus Bank |  | 41,579 |  | 118,879 |  | 80,001 |  | 29,025 |  | 36,489 |  | 63,566 |  | 174,954 |  | 544,493
Total loans held for investment |  | $1,337,163 |  | $1,620,012 |  | $961,728 |  | $530,937 |  | $376,501 |  | $825,883 |  | $706,166 |  | $6,358,390
Allowance for Credit Losses Methodology On January 1, 2020, the Company adopted ASC 326, which replaces the incurred loss methodology for determining its provision for credit losses and allowance for credit losses with an expected loss methodology that is referred to as the CECL model. Upon adoption, the allowance for credit losses was decreased by $3.2 million, with no impact to the consolidated statement of income. The allowance for credit losses is measured on a collective (pool) basis when similar risk characteristics exist by identifying by portfolio segments, the applicable weighted average life and measuring the allowance for credit losses using the vintage loss analysis adjusted for qualitative factors. The weighted average life of the Company’s loans segments are disclosed in Note (1) to the Company’s Annual Report on Form 10-K for the year ended December 31, 2020. The following table details activity in the allowance for credit losses on loans for the period presented. Allocation of a portion of the allowance to one category of loans does not preclude its availability to absorb losses in other categories.
|  | Allowance for Credit Losses |
|  | Balance at beginning of period |  |  | Charge- offs |  |  | Recoveries |  |  | Net charge-offs |  |  | Provision for credit losses on loans |  |  | Balance at end of period |
|  | (Dollars in thousands) |
Three Months Ended March 31, 2021 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
BancFirst |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Real estate: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial real estate owner occupied |  | $ | 7,035 |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | (440 | ) |  | $ | 6,595 |
Commercial real estate non-owner occupied |  |  | 11,842 |  |  |  | (38 | ) |  |  | — |  |  |  | (38 | ) |  |  | 5,151 |  |  |  | 16,955 |
Construction and development < 60 months |  |  | 2,560 |  |  |  | — |  |  |  | 3 |  |  |  | 3 |  |  |  | 180 |  |  |  | 2,743 |
Construction residential real estate < 60 months |  |  | 627 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 356 |  |  |  | 983 |
Residential real estate first lien |  |  | 2,570 |  |  |  | (43 | ) |  |  | 15 |  |  |  | (28 | ) |  |  | 50 |  |  |  | 2,592 |
Residential real estate all other |  |  | 2,230 |  |  |  | (16 | ) |  |  | 3 |  |  |  | (13 | ) |  |  | (344 | ) |  |  | 1,873 |
Farmland |  |  | 3,136 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (59 | ) |  |  | 3,077 |
Commercial and agricultural non-real estate |  |  | 32,400 |  |  |  | (104 | ) |  |  | 26 |  |  |  | (78 | ) |  |  | 363 |  |  |  | 32,685 |
Consumer non-real estate |  |  | 3,377 |  |  |  | (413 | ) |  |  | 112 |  |  |  | (301 | ) |  |  | 180 |  |  |  | 3,256 |
Oil and gas |  |  | 17,851 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | (5,720 | ) |  |  | 12,131 |
Other loans |  |  | 3,182 |  |  |  | (52 | ) |  |  | — |  |  |  | (52 | ) |  |  | 60 |  |  |  | 3,190 |
Pegasus Bank |  |  | 4,556 |  |  |  | — |  |  |  | 1 |  |  |  | 1 |  |  |  | 223 |  |  |  | 4,780 |
Total |  | $ | 91,366 |  |  | $ | (666 | ) |  | $ | 160 |  |  | $ | (506 | ) |  | $ | — |  |  | $ | 90,860 |
|  | Allowance for Credit Losses |
|  | Balance at beginning of period |  |  | Impact of CECL adoption |  |  | Initial allowance on loans purchased with credit deterioration |  |  | Charge- offs |  |  | Recoveries |  |  | Net charge-offs |  |  | Provision for credit losses on loans |  |  | Balance at end of period |
|  | (Dollars in thousands) |
Three Months Ended March 31, 2020 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
BancFirst |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Real estate: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial real estate owner occupied |  | $ | 5,625 |  |  | $ | (2,806 | ) |  | $ | 432 |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | 1,293 |  |  | $ | 4,544 |
Commercial real estate non-owner occupied |  |  | 8,358 |  |  |  | (5,507 | ) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 3,084 |  |  |  | 5,935 |
Construction and development < 60 months |  |  | 2,214 |  |  |  | (1,056 | ) |  |  | — |  |  |  | (3 | ) |  |  | — |  |  |  | (3 | ) |  |  | (19 | ) |  |  | 1,136 |
Construction residential real estate < 60 months |  |  | 1,933 |  |  |  | (778 | ) |  |  | — |  |  |  | (1 | ) |  |  | — |  |  |  | (1 | ) |  |  | 464 |  |  |  | 1,618 |
Residential real estate first lien |  |  | 8,692 |  |  |  | (3,831 | ) |  |  | 7 |  |  |  | (152 | ) |  |  | 2 |  |  |  | (150 | ) |  |  | 1,474 |  |  |  | 6,192 |
Residential real estate all other |  |  | 2,767 |  |  |  | (1,408 | ) |  |  | — |  |  |  | (25 | ) |  |  | 27 |  |  |  | 2 |  |  |  | 931 |  |  |  | 2,292 |
Farmland |  |  | 2,821 |  |  |  | (1,408 | ) |  |  | 1 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 374 |  |  |  | 1,788 |
Commercial and agricultural non-real estate |  |  | 13,462 |  |  |  | 13,195 |  |  |  | 62 |  |  |  | (87 | ) |  |  | 17 |  |  |  | (70 | ) |  |  | 7,344 |  |  |  | 33,993 |
Consumer non-real estate |  |  | 3,252 |  |  |  | (622 | ) |  |  | — |  |  |  | (321 | ) |  |  | 57 |  |  |  | (264 | ) |  |  | 1,019 |  |  |  | 3,385 |
Oil and gas |  |  | 1,883 |  |  |  | (1,346 | ) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 2,746 |  |  |  | 3,283 |
Other loans |  |  | 2,632 |  |  |  | (116 | ) |  |  | — |  |  |  | — |  |  |  | 2 |  |  |  | 2 |  |  |  | 233 |  |  |  | 2,751 |
Pegasus Bank |  |  | 599 |  |  |  | 2,488 |  |  |  | — |  |  |  | (571 | ) |  |  | 7 |  |  |  | (564 | ) |  |  | 640 |  |  |  | 3,163 |
Total |  | $ | 54,238 |  |  | $ | (3,195 | ) |  | $ | 502 |  |  | $ | (1,160 | ) |  | $ | 112 |  |  | $ | (1,048 | ) |  | $ | 19,583 |  |  | $ | 70,080 |
Purchased Credit Deteriorated Loans The Company has previously purchased loans, for which there was, at acquisition, evidence of more than insignificant deterioration of credit quality since origination. The Company did not purchase credit-deteriorated loans during the three-month period ended March 31, 2021. The credit-deteriorated loans purchased during the three-month period ended March 31, 2020 were as follows:
|  | Loans acquired with deteriorated credit quality |
|  | (Dollars in thousands) |
For the period ended March 31, 2020 |  |  |  |
Purchase price of loans at acquisition |  | $ | 1,761 |
Allowance for credit losses at acquisition |  |  | 502 |
Par value of acquired loans at acquisition |  | $ | 2,263 |
Collateral Dependent Loans A loan is considered collateral-dependent when the borrower is experiencing financial difficulty and repayment is expected to be provided substantially through the operation or sale of the collateral. During the three months ended March 31, 2021 and 2020, no material amount of interest income was recognized on collateral-dependent loans subsequent to their classification as collateral-dependent. The following table summarizes collateral-dependent gross loans held for investment by collateral type and the related specific allocation as follows:
|  | Collateral Type |  |  |  |  |  |  |  |  |
|  | Real Estate |  |  | Business Assets |  |  | Energy Reserves |  |  | Other Assets |  |  | Total |  |  | Specific Allocation |
|  | (Dollars in thousands) |  |  |  |  |  |  |  |  |
As of March 31, 2021 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
BancFirst |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Real estate: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial real estate owner occupied |  | $ | 423 |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | 423 |  |  | $ | 176 |
Commercial real estate non-owner occupied |  |  | 4,719 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 4,719 |  |  |  | 1,000 |
Construction and development < 60 months |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Construction residential real estate < 60 months |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Residential real estate first lien |  |  | 805 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 805 |  |  |  | 138 |
Residential real estate all other |  |  | 631 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 631 |  |  |  | 550 |
Farmland |  |  | 3,215 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 3,215 |  |  |  | 1,113 |
Commercial and agricultural non-real estate |  |  | — |  |  |  | 8,310 |  |  |  | — |  |  |  | 1,317 |  |  |  | 9,627 |  |  |  | 4,129 |
Consumer non-real estate |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 50 |  |  |  | 50 |  |  |  | 11 |
Oil and gas |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Other loans |  |  | — |  |  |  | 17 |  |  |  | — |  |  |  | — |  |  |  | 17 |  |  |  | 16 |
Pegasus Bank |  |  | 1,255 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 1,255 |  |  |  | 222 |
Total collateral-dependent loans held for investment |  | $ | 11,048 |  |  | $ | 8,327 |  |  | $ | — |  |  | $ | 1,367 |  |  | $ | 20,742 |  |  | $ | 7,355 |
|  | Collateral Type |  |  |  |  |  |  |  |  |
|  | Real Estate |  |  | Business Assets |  |  | Energy Reserves |  |  | Other Assets |  |  | Total |  |  | Specific Allocation |
|  | (Dollars in thousands) |  |  |  |  |  |  |  |  |
As of December 31, 2020 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
BancFirst |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Real estate: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Commercial real estate owner occupied |  | $ | 848 |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | 848 |  |  | $ | 226 |
Commercial real estate non-owner occupied |  |  | 4,719 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 4,719 |  |  |  | 1,000 |
Construction and development < 60 months |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Construction residential real estate < 60 months |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Residential real estate first lien |  |  | 860 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 860 |  |  |  | 151 |
Residential real estate all other |  |  | 866 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 866 |  |  |  | 616 |
Farmland |  |  | 3,258 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 3,258 |  |  |  | 1,114 |
Commercial and agricultural non-real estate |  |  | — |  |  |  | 8,460 |  |  |  | — |  |  |  | 413 |  |  |  | 8,873 |  |  |  | 2,813 |
Consumer non-real estate |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 109 |  |  |  | 109 |  |  |  | 58 |
Oil and gas |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Other loans |  |  | — |  |  |  | 13 |  |  |  | — |  |  |  | — |  |  |  | 13 |  |  |  | 12 |
Pegasus Bank |  |  | 1,257 |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | 1,257 |  |  |  | 222 |
Total collateral-dependent loans held for investment |  | $ | 11,808 |  |  | $ | 8,473 |  |  | $ | — |  |  | $ | 522 |  |  | $ | 20,803 |  |  | $ | 6,212 |
Non-Cash Transfers from Loans and Premises and Equipment Transfers from loans and premises and equipment to other real estate owned and repossessed assets are non-cash transactions, and are not included in the statements of cash flow. Transfers from loans and premises and equipment to other real estate owned and repossessed assets during the periods presented are summarized as follows:
|  | Three Months Ended March 31, |
|  | 2021 |  |  | 2020 |
|  | (Dollars in thousands) |
Other real estate owned |  | $ | 357 |  |  | $ | 2,342 |
Repossessed assets |  |  | 220 |  |  |  | 318 |
Total |  | $ | 577 |  |  | $ | 2,660 |

X
- Definition The entire disclosure for claims held for amounts due a entity, excluding financing receivables. Examples include, but are not limited to, trade accounts receivables, notes receivables, loans receivables. Includes disclosure for allowance for credit losses. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Publisher FASB -Name Accounting Standards Codification -Topic 310 -SubTopic 10 -URI http://asc.fasb.org/subtopic&trid=2196772 + Details
Name: | us-gaap_LoansNotesTradeAndOtherReceivablesDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- References No definition available. + Details
Name: | us-gaap_ReceivablesAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration