[Protest of Army Contract Award for Multiplexors]

A firm protested the Army's award of a delivery order for communications equipment, contending that, since the awardee's equipment did not meet the solicitation specifications, the Army should cancel the delivery order and award it the order. GAO held that: (1) the Army improperly induced the protester to compete because it overstated its requirements in the solicitation; (2) since the awardee had delivered and installed its equipment, which met the Army's true requirements, cancellation of the order was impracticable; and (3) the protester was entitled to reimbursement for its bid and protest preparation costs. Accordingly, the protest was sustained.