weaving and embroidery industry in Appenzell failed repeatedly in the face of tough competition from the city of St. Gallen. Division of the Appenzell On 18 March 1560 the village was destroyed by fire. It was rebuilt mostly using the old foundations and following the pre-fire roads. The reconstruction was considered the most part of the old homesteads and foundations. Following the division of Appenzell into two half cantons in 1597, Appenzell village lost much of its importance as the capital. Fires partially destroyed the village in 1679 and again in 1701. Most of the notable buildings, were built in the 16th century. The parish church is from 1560 to 1584, the ossuary in 1560–65 and the Rathaus (city hall) in 1560–83. On the southeastern edge of village, the so-called Castle was built in 1563–70 and the armory was built around 1568. The Capuchin monastery was built in 1587–88 financial statements, followed by the Capuchin nunnery in 1611–22. A comparison of historic views (from 1586, 1642 and 1839) shows that the size and structure of the village did not change between the 16th century and the mid-19th century. In the 16th–18th centuries, foreign military service played an important role in the economy of the village. Numerous families (especially the Sutter, Bischofberger, Büchler, Knusert and Ulmann) grew to dominate the foreign mercenary industry in the village. Creation of the Appenzell district The district was formally established in 1872 by joining the rhodes Lehn and Rinkenbach. Coat of arms The coat of arms shows an upright black bear with red claws on a silver background. The bear holds a red ring between its forepaws. This ring is the hamlet ring, representing the market village of Appenzell. The blazon of the municipal coat of arms is Argent a bear Sable langued, armed and priapic in his virility Gules between his front paws an Annulet of the same. Geography Appenzell has an area, , of . Of this area, 66.6% is used for agricultural purposes, while 22.0% is forested. Of the rest of the land, 10.7% is settled (buildings or roads) and 0.7% is unproductive land. The district (equivalent to a municipality in other cantons) is the capital of the half canton of Appenzell Innerrhoden. It also includes the Feuerschaugemeinde (fire-fighting municipality), Kirchgemeinde (parish) and Schulgemeinde (school district). The village of Appenzell is located in the center of the Sitter river valley on the