I've tried replicating your recommendation however I just can't seem to get it to work. Could someone provide step-by-step process on how to do this?
What I was:
1) Opened up iTunes on my desktop.
2) Went to Store (left hand column)->iTunes Store.
3) Searched for Netflix; downloaded the app.
4) I see it available on Library->Apps as well as Devices->NameOfiPad->Apps
5) Within Devices->NameOfiPad->Apps, I selected "Install" by Netflix.
6) Clicked Apply.
7) Prompted me if I wanted to sync with another iTunes library in which case I hit the Cancel button.
8) Then it started to sync. Waiting for changes to be applied.
9) Finally, I got a dialog box that said "The app Netflix was not installed on the iPad NameOfiPad because it requires it requires a newer version of iPad software.
Double checked my iPad and it wasn't installed. Just wondering what I'm doing wrong. I have the latest version of iTunes (11.1.3) and I'm trying to get this installed on the iPad first generation. Thanks for any help!