They are not ugly. They are cosmetically challenged. Yes, we are so PC here in California even with our produce. I've been noticing this more at farmer's markets here in the Bay Area, boxes of cosmetically challenged vegetables and fruits. This produce is perfectly edible, it's just not necessarily showroom pretty.
One way to save some money at your farmers market is to buy some of this produce because typically it's discounted to help move the product.
I like getting cosmetically challenged tomatoes because I'm going to chop them up and roast them for pasta sauce anyway so they don't need to look pretty. What matters is that they are tasty!