It works for me!
I like the implementation that you ask/verify Yubikey's OTP first, you don't ask the user to type in the PIN + OTP at the same time to avoid key loggers taking the user's OTP + PIN altogether.
Since if the key logger steals the OTP and use it first on mashed life, the user's OTP validation will get REPLAY error, so the user is not prompted to enter the PIN. So PIN will not be stolen.
If the key logger steals the OTP, and wait for your entering PIN and steal them both, the stolen OTP will get a REPLAY error.
Pretty cool!
_________________ The YubiKey Server Guy
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