They've been saying (Elon at a minimum) multiple times that they expect the first flight to end in a giant ball of flames. That there's a "if everything goes extremelly well" plan that reaches quasi-orbit and lands back nicely... doesn't make this the expected goal. It's not like they can submit a flight plan to the FAA that's "we'll launch and explode somewhere along the way". They need to draw up a nominal plan, with the full understanding (by reasonable people) that the flight really isn't expected to actually fulfill that entire plan.

It's pretty amazing that the rocket went past the launch pad, yet alone survived past max-Q to begin with!