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                                                                    Exhibit 99.3

[LOGO] FIRST AMERICAN CORPORATION

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NEWS RELEASE






Financial Contact:  Carroll Kimball, Telephone: 615/748-2455,  Fax: 615/748-2755
Media Contact:      Vicki Kessler,   Telephone: 615/748-2912,  Fax: 615/748-2535

For Immediate Release

        FIRST AMERICAN CORPORATION COMPLETES MERGER WITH DEPOSIT GUARANTY

         NASHVILLE, TENN., May 1, 1998 -- First American Corporation 
(NASDAQ: FATN) today announced the completion of its merger with Deposit 
Guaranty Corp. (NYSE: DEP).
         Under the terms of the merger, Deposit Guaranty Shareholders received
1.17 shares of First American common stock for each share of Deposit Guaranty
common stock in a tax-free exchange. The transaction will be accounted for as a
pooling-of-interests.
         "This is an exciting day for First American," said Dennis C. Bottorff,
chairman and CEO. "First American and Deposit Guaranty have long been strong
institutions in our respective markets. This merger enhances service to our
clients and accelerates our ability to become one of the highest performing,
most highly valued companies in the industry," he said.
         E. B. Robinson, Jr., former chairman and CEO of Deposit Guaranty, and
now vice chairman and chief operating officer of First American, said, "First
American continues to be a financial services provider of the future rather than
a bank of the past. We look forward to the benefits of First American's
technology and expanded product lines that will occur upon the conversion of our
systems in the fall."
         First American Corporation will be the holding company for both First
American National Bank and Deposit Guaranty National Bank. Each bank will retain
its current name; however, both banks will use the "about life. about you."
positioning and theme line currently used by First American. The two banks will
operate as separate legal entities until they are converted to a single
operating system, which is scheduled to occur in the fall of 1998. Upon
conversion, the banks will merge and First American National Bank will "do
business as" Deposit Guaranty in Deposit Guaranty's markets. Following the
systems conversion, clients will enjoy the benefits of banking interchangeably
at either bank's offices.
         In conjunction with the closing of the merger, Robinson and four other
members of Deposit Guaranty's Board of Directors have joined the First American
Board of Directors.

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FIRST AMERICAN COMPLETES MERGER - PAGE 2 OF 2

         They are; Warren A. Hood, Jr., chairman of Hood Industries Inc.; Howard
L. McMillan, Jr., chairman of the Deposit Guaranty Operations of First American
Corporation; John N. Palmer, chairman and CEO of Mobile Telecommunications
Technologies Corp; and J. Kelley Williams, chairman and CEO of ChemFirst Inc.
         As a result of the merger, First American is now an $18.2 billion
financial services holding company headquartered in Nashville, Tenn., with 335
banking offices and approximately 650 ATMs in Tennessee, Mississippi, Louisiana,
Virginia, Kentucky and Arkansas. The company has additional mortgage offices in
Oklahoma, Nebraska, Texas, Indiana and Iowa. The corporation is the parent
company of First American National Bank, Deposit Guaranty National Bank, First
American Federal Savings Bank of Virginia and First American Enterprises Inc.
The company also owns 98.75 percent of IFC Holdings, Inc. (formerly INVEST).
Through IFC, the company has approximately 1,900 representatives selling mutual
funds, annuities and other investment and insurance products in more than 1,000
investment centers throughout the U.S.

         TO THE EXTENT THAT STATEMENTS IN THIS REPORT RELATE TO THE PLANS,
OBJECTIVES OR FUTURE PERFORMANCE OF FIRST AMERICAN CORPORATION, THESE STATEMENTS
MAY BE DEEMED TO BE FORWARD LOOKING STATEMENTS WITHIN THE MEANING OF THE PRIVATE
SECURITIES LITIGATION REFORM ACT OF 1995. SUCH STATEMENTS ARE BASED ON
MANAGEMENT'S CURRENT EXPECTATIONS AND THE CURRENT ECONOMIC ENVIRONMENT. ACTUAL
STRATEGIES AND RESULTS IN FUTURE PERIODS MAY DIFFER MATERIALLY FROM THOSE
CURRENTLY EXPECTED DUE TO VARIOUS RISKS AND UNCERTAINTIES. ADDITIONAL DISCUSSION
OF FACTORS AFFECTING FIRST AMERICAN'S BUSINESS AND PROSPECTS IS CONTAINED IN THE
COMPANY'S PERIODIC FILINGS WITH THE SECURITIES AND EXCHANGE COMMISSION.


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