The merger of New York Bancorp and Hamilton Bancorp has been approved by the Office of Thrift Supervision, but New York Bancorp's low stock price could terminate the plan.

New York Bancorp., the holding company for Home Federal Savings Bank, noted that the merger agreement allows Hamilton to notify New York Bancorp of its intent to terminate the merger if the average of the per-share closing prices of the New York Bancorp common stock for the 10 trading days prior to the anticipated effective time of the merger, at the end of the month, is less than $19.69.

Shares were trading at $17.75 on Friday afternoon.

Michael A. McManus Jr., the president and chief executive officer of New York Bancorp, expressing optimism that the merger would go through, blamed the depressed market value of New York Bancorp common stock on a large short position that has developed since the merger was announced.

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