Yes I have the first Gen SS 42mm, since they where released bought two of them a 38mm for my wife. My display started to fade after 14months it so bad that I can't see it at all in any kind of light. I shower in mine since having it. The gienus bar said it looks like water damage, and wanted $250 for fixing it or replacing it. Don't think so I put that $250 towards SS 42mm series 2, I live in Florida and is at the beach all the time especially in the summer, also do a lot of swimming at my gym LA fitness so true water resistant makes sense to me. Also SS will hold up better to salt water etc. And can be refinished back to new if there is scratches, can't do that with sport models aluminum. Besides all my watches are SS. I just like the look of the Nike+ watch SG with black & volt band, but after seeing the paint chipping I cancelled my order lol.
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I think in all honesty the series 2 watches will hold a better resale value than the first Gen watches. Also I think that the features of series 2 is what apple should have done from the start with the first Gen watches lol.