UPDATE 2-Sex Pistol helps boost Dairy Crest butter sales

* No plans to raise capital; "very reticent" to cut dividend

* No change in expectations since Nov. profit warning

* To cut capital spending next financial year

* Shares down 1.5 pct, off early low

(Adds CEO, analyst comments, detail, background, shares)

By Mark Potter

LONDON, Feb 3 (Reuters) - Dairy Crest (DCG.L) has no plans to raise capital or cut its dividend, it said on Tuesday, as it reported steadying trade since a November profit warning, helped by a marketing campaign fronted by former Sex Pistol John Lydon.

The British maker of Cathedral City cheese, Yoplait yoghurts and Clover spreads said sales rose 4 percent in the nine months ended Dec. 31, down from 6 percent at the half-year stage, though this was partly due to the sale of a cheese business.

Volumes of Country Life spreads leapt 85 percent in the latest quarter, which the group attributed in part to promotions and also to the success of the John Lydon advertising campaign.