I notice that this post is rather old, but I found it when looking for others suffering with high blood sugar in the morning - so hopefully others will too.
I was only diagnosed a few weeks back and at that stage my sugar levels were a disaster. I have managed to lower these to (usually) under 6.0 with metformin, diet and excercise. However, my morning levels are usually higher (6.8 - 8.7). I tried a bedtime snack and taking the metformin a bit later in the evenings but no real effect.
Now, being a bit of a fat boy, as I am, I have a tendency to snore and (to be brutally honest) dribble and sweat whilst sleeping (no, I am not a hit with the ladies). So I started to wonder if my morning sugar level problem is dehydration! I also used to avoid drinking much in the evenings as when my levels were bad I was peeing many times per night and this is exhausting. So I have started to drink 500ml of water with my bedtime snack. Since this, my levels have been much better in the mornings: 4.7 - 5.3. It is still early days, but I would suggest that if you are a snorer that you consider dehydration as a possible cause of high blood sugar in the morning.