[Protest of Army Contract Award for TOW Missile Parts]

A firm protested an Army fixed-price contract award to another firm for missile parts, contending that: (1) the Army improperly awarded the contract on the basis of initial proposals although the protester offered to reduce its initial bid prices; and (2) its price reductions would have been beneficial to the Army. GAO held that the Army reasonably determined not to open negotiations and properly awarded the contract on an initial-proposal basis since the protester submitted a late price reduction several months after the initial closing date. Accordingly, the protest was denied.