Fluffyducky, I agree with you about the designer being aware of it. I don't know what their exact reasoning was, but I work with a lot of visual images and text (not a designer) and I know that I'm always looking for and trying to notice the little subtleties in anything I put together. If I had made that, I would have paid attention to the way the mirror image looked. It doesn't exactly say MILF, but it is suggestive.
It's true that it happens because of the fade out in the mirror image - but the graphic artist deliberately chose something that would fade like that.