TalkTalk has revised its EBITDA guidance for full-year 2018 downward to £230 million-£245 million from £270 million-£300 million on the back of increased customer acquisition costs and a continued increase in the take-up of fiber broadband. At the same time, the company has announced its intention to raise up to £200 million in new equity and to temporarily reduce its dividend to 2.5p from 7.5p. These steps are intended to strengthen TalkTalk's balance sheet and support continued customer growth and investments in fiber broadband infrastructure. We expect that the equity increase and dividend reduction will more than offset the impact of the weaker operating performance on TalkTalk's credit metrics in financial 2019. We are therefore affirming our 'BB-' long-term issuer
