It's vulgar and not funny. I personally report any and every one I see doing that sort of thing. Murloc, Anal, whatever.

Personally I think blizzard needs to ramp up 2nd offense violations on these, the warnings stop some folks, but I see the same offenders in the channel every day...

Of course, I saw a guy make an anti-semantic joke in trade, reported him and actually spoke to the GM about it, and the guy was on the next 3 days as well... yet a guildmate of mine earned himself a (well deserved) 3 hour vacation from WOW by spamming a short bus ascii art into trade a few hours before raid...