When coming up in the trade in CT I never saw a panel installed w/ the chase nipple method. Than again I don't think I ever saw an exterior loadcenter. Here in CO it is the norm to have an exterior loadcenter and the chase nipple method is prevalent in the entire metro area. When one is doing a service upgrade there is really not a whole lot of choice but to replicate the same method (unless you are willing to do lots of damage to the interior finishes. I see lots of new work still being done this way but I've never really liked it. On new work I always put the panel inside and enter via the methods discussed (I've never really understood why people like the panels outside).
E57, if I understand your description, you set a box, drop the EGC's and turn the other conductors through a nipple and terminate them in the panel. Isn't this a violation by having the stripped NM in exterior conduit? The reason I ask is I have a thread going where I did something similiar (brought the NM into a trough and turned the conductors up through 2" chase nipples) and was shot down for the conductors being in a wet location.