Can't install ubuntu?

I am trying to install ubuntu 10.04 LTS for my netbook and when it asks to choose root partion the box is all grayed out so i tried going into gparted and it shows my usb stick that is 7.47 Gib and an unallocated which is 1.11mib and i click on the allocated trying to make a new one from it and the max size is 1 how do i install ubuntu on this netbook plz someone help