Unfortunately, I've seen it done
2: And it wasn't one of those gay aftermarket bumpers you can buy. I'll post pics if i can find them.
Going back to the cutouts, if you're mechanically inclined, you could use a hole saw and make your own. The hole saw will make a nice, clean cut. Use a piece of 4inch PVC and mark the spots with a marker, placing half of the PVC over the edge of the bumper, then cut them out with a hole saw. I would imagine thats how a body shop would do it.