Terra as he appears during his battle against Sonic. The only difference when he returns in the final battle against Punchy is that his main guns are replaced by hands. Since that is such a small difference, it is not considered Mark 3.

Terra's body was destroyed toward the end of the story, but his data was salvaged and is now awaiting a new body. Terra Mark 3 may yet make an appearence...

Terra Mark 2 ©  2BIT