Step 1: The APGAR scale sums five signs - colour, heart rate, reflex irritability, tone and breathing - each scored 0, 1 or 2, for a total out of 10.
Step 2: Categories are simple - $\geq 7$ is reassuring, $4$ to $6$ is moderate depression, and $\leq 3$ is severe depression demanding urgent resuscitative measures.
Step 3: A 1-minute value of 3 sits in the severe band, so the baby is severely depressed. This excludes mildly depressed (4-6), normal ($\geq 7$), and the claim that no further resuscitation is needed.
\[\boxed{\text{Severely depressed}}\]