FACTBOX: McCain, Obama review bailout proposal

(Reuters) - The presidential candidates Republican Sen. John McCain and Democratic Sen. Barack Obama responded on Saturday to the Bush administration's $700 billion proposal for rescuing financial markets that was submitted to Congress.

The plan's centerpiece would permit the Treasury to purchase bad mortgage-related debt that is weighing down Wall Street. The package would raise the government's debt ceiling to $11.3 trillion.

President George W. Bush called it a "bold approach" needed to prevent more severe economic disruption.

MCCAIN:

"I've spoken with (Treasury Secretary Henry) Paulson and look forward to reviewing the full administration proposal, as well as any modifications that might emerge in congressional negotiations. As part of that process, I encourage all parties to consider both the principles and the proposals that I laid out on Friday in my Mortgage and Financial Institutions (MFI) trust plan -- an approach that would proactively resolve troubled financial institutions, enforce discipline on management and shareholders, and minimize the burden on the taxpayer."

OBAMA:

"(Obama) supports the effort of Secretary Paulson and Federal Reserve Chairman (Ben) Bernanke to work in a bipartisan spirit with the congressional leadership to find a systemic solution to our deepening crisis," said spokeswoman Jen Psaki. "Senator Obama has received the Treasury's proposed legislative language and is reviewing it. He will be working with the administration and Congress to make sure that the plan meets the principles he set out including making sure it is part of an overall plan not just for Wall Street but for main street, that it protects taxpayers to the fullest extent possible; and that it helps homeowners stay in their homes."